- T Cloud provides sovereign cloud options hosted in Europe, responding to growing demand for data localisation.
- Despite the offerings, US hyperscalers like AWS, Microsoft, and Google dominate the market.
What happened: T Cloud offers sovereign cloud with AI
Deutsche Telekom (DT) has officially launched T Cloud, a new cloud services division aimed at providing European businesses with an alternative to the dominant US-based hyperscalers. The new offering combines the cloud resources of T-Systems and Telekom Deutschland’s B2B unit. With an emphasis on data sovereignty, T Cloud is tailored for businesses that need to ensure their data is processed and stored within Europe.
T Cloud’s services include T Cloud Public, hosted in Germany, Switzerland, and the Netherlands, offering businesses secure and sovereign cloud data storage. For companies needing more control, the platform also provides private cloud solutions, including tailored options for SAP application migration and digital transformation.
The cloud service also integrates cutting-edge AI capabilities through a partnership with Nvidia, offering businesses AI-powered infrastructure. In particular, T Cloud plans to support AI data centres and other corporate functions, from operations to security.
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Why it’s important
T Cloud’s launch comes at a time when geopolitical tensions and rising demands for data localisation have placed data sovereignty at the forefront of digital governance. The division offers three types of sovereignty: data, operational, and technology, allowing businesses more control over their data and critical infrastructure. This positions T Cloud as a key player in Europe’s push for digital independence.
However, T Cloud faces a significant challenge from entrenched competitors like Amazon Web Services (AWS), Microsoft, and Google, which dominate the European cloud market. According to Q2 figures from Canalys, the three US tech giants account for 65% of global cloud infrastructure spending. Despite their efforts in sovereign cloud services, their influence remains considerable, making T Cloud’s aspirations to compete in this market a daunting task.
In the battle for European cloud dominance, T Cloud’s success hinges on its ability to offer a truly local, secure, and tailored service—setting itself apart from the US-based giants while addressing increasing concerns around data privacy and sovereignty.
