The French groups Atos and OVHcloud are partnering up to start a fully European-led cloud computing service. The move is seen by many as a way to widen the choice European-based companies, and the public sector organizations have.
The cloud computing sector is growing fast and is dominated by Amazon, Microsoft, and Alphabet.
Microsoft and Amazon, combined, account for more than 50% of the market share globally, according to 3rd quarter reports from Synergy Research Group. The dominance seen here is worrying for Europe, which might not want to put all its sensitive corporate data in US companies’ hands.
In the wake of the adoption of the US CLOUD Act of 2018 and no major competitors (except for China’s Alibaba), Europe has reason to be concerned.
These concerns led to the creation of Gaia-X, a European association set up to develop common standards that will dictate how data storage and data processing happens on servers located locally and ensure compliance with the EU’s strict laws on data privacy (GDPR).
Atos and OVHcloud say that combined, they have a network of 120 data centers, with the ability to host data in virtual spaces or private environments where resources are not shared with other users.
Impending competition or drop in a bucket?
Recently, the French cybersecurity agency ANSSI granted its SecNumCloud label to OVHcloud. The certification requires any company to implement high-security standards.
Atos has computer scientists who help companies install cloud computing services from Microsoft, Amazon, and Google. The company will be tasked with providing cybersecurity software hosted by OVHcloud.
Many analysts are skeptical about these newcomers’ ability to affect the dominance held by American big tech companies, who have spent a lot of money expanding on the region.