EC approves €1.2bn funding for European cloud computing project

Deutsche Telekom is one of the companies taking a lead in the development of a common European cloud and edge-cloud infrastructure following a green light for the project from the European Commission.

Source: Wikimedia Commons

Telekom’s announcement follows the EC’s decision yesterday to approve up to €1.2 billion in funding for the European cloud computing project to boost Europe’s presence in a field dominated by US tech giants.

The initiative was backed by seven member countries – France, Germany, Hungary, Italy, the Netherlands, Poland, and Spain.

The EC said it expects the state aid to be complemented by an additional €1.4 billion in private investment.

The project will be part of the Important Projects of Common European Interest – Next Generation Cloud Infrastructure & Services (IPCEI-CIS) framework.

The IPCEI-CIS program aims to establish a common European ‘Cloud-Edge Continuum’ – one shared cloud-edge infrastructure for Europe, with no internal borders.

The initiative seeks to establish a common set of technical standards, a shared regulatory framework, and sustainability requirements for European edge-cloud technology.

The EC said that participating companies will develop an open-source software that will allow for real-time and low-latency services by distributed computing resources close to the user, thereby reducing the need to transmit large volumes of data to centralised cloud servers. The individual projects cover the entire cloud edge continuum, from the basic software layer to sector-specific applications.

Deutsche Telekom said the initiative this will encourage the development of pan-European solutions which leverage the continent’s scale and deepen the single market for digital services. A cloud-edge continuum also allows solutions to work across international borders, such as autonomous logistics processes, or driverless vehicles.
IPCEI-CIS is a collaborative project which currently involves 12 EU member states and various industry leaders, including Bosch, SAP, Orange and Airbus.

The cloud project also involves Orange, Telecom Italia, Telefónica and others.

Klaus Werner, managing director business customers at Telekom Deutschland, said: “Edge Cloud represents the next frontier in telecommunications and digital infrastructure. With the support of the German government and European partners, we’re not just exploring this frontier; we want to shape and define it. This research promises a brighter, more connected, and sustainable digital future for Europe. We are calling upon European business and the public sector to join us in IPCEI-CIS and build this digital future, together.”