European business, markets and politics
In spring 2026 the German Foreign Office awarded a cloud services contract to OVH Cloud by direct award, bypassing a public tender – a rare move that highlights the push for digital sovereignty.

In spring 2026 the German Foreign Office awarded a cloud services contract to OVH Cloud through a direct procurement, bypassing a public tender.
The ministry disclosed that OVH Cloud was the only bidder to fully meet the stipulated conditions, which required an EU‑based headquarters and proprietary data centres outside the Union. The contract value was not disclosed.
OVH’s compliance is summarised in the table below. Domestic rivals Schwarz Digits, Ionos and Telekom each lack at least one of the required elements.
| Provider | EU headquarters | Own data centres outside EU | Meets all criteria |
|---|---|---|---|
| OVH Cloud | Yes | North America, Asia | Yes |
| Schwarz Digits | Yes | No | No |
| Ionos | Yes | No | No |
| Telekom | Yes | No | No |
| Source: Handelsblatt (19 Aug 2026) | |||
The award signals a growing emphasis on digital sovereignty, with the ministry preferring a provider that can guarantee data residency outside the EU while still meeting EU‑law requirements. OVH Cloud views the contract as a prestige win and a foothold for expanding its business with German authorities. Domestic providers will need to broaden their global infrastructure or adapt their offerings to stay competitive in future public‑sector procurements.
Handelsblatt reported the details of the award and OVH’s positioning in the German market.Source