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The move aims to increase the EU’s presence in the global cloud computing market
The European Commission has this week agreed to provide €1.2 billion in state funding for cloud computing.
The funding will support a European cloud computing project in an attempt to increase the EU’s presence in the global cloud computing ecosystem. Currently, the international cloud market is dominated by US firms, such as Amazon Web Services and Microsoft Azure.
The project, which is named IPCEI (Important Projects of Common European Interest) Next Generation Cloud Infrastructure and Services (IPCEI CIS) has so far been backed by seven counties: France, Germany, Hungary, Italy, the Netherlands, Poland, and Spain.
As part of the project, 19 companies including Deutsche Telekom, Telefónica Spain, Orange, and Telecom Italia will undertake 19 projects, working closely together to develop together the first EU-wide and interoperable multi-provider cloud edge continuum in Europe.
“The participating Member States provide up to €1.2 billion in public funding, expected to unlock an additional €1.4 billion in private investments,” said Commissioner Didier Reynders (who is in charge of competition policy) in the European Commission’s statement.
“The IPCEI will provide for highly ambitious research, necessary to enable the uptake of innovative data processing applications and services for European businesses, public administrations, and citizens,” he continued.
The Commission stated that at least 1,000 jobs are set to be created during the research and development phase of the project, which will run between 2023 and 2031. The image below highlights the structure of the project.
IPCEIs are designed to boost the economic growth and competitiveness of the EU by combining research, finances, and business acumen across member states. The European Commission has approved six IPCEIs since 2018, with the projects covering batteries, hydrogen, and microelectronics and communication technologies.
The first results of the project are expected around 2027.
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