OVHcloud CEO: "The current [European LLM] players are not good. We think we can be good in our vertical that is the cloud"
![OVHcloud CEO: "The current [European LLM] players are not good. We think we can be good in our vertical that is the cloud"](https://media.datacenterdynamics.com/media/images/2019_DEC_FR_PARIS_IMAGE_0119_BD.d3de65fc.fill-750x500.jpg)
Company posts Q3 2026 results
Amidst the global race for AI leadership, European cloud providers are recognizing the imperative to develop competitive local large language models rather than solely relying on non-European offerings.
This indicates a growing strategic push by European entities to build indigenous AI capabilities, reducing dependency on US tech giants and fostering a distinct regional AI ecosystem.
Cloud providers are now extending their focus from purely infrastructure-as-a-service to vertically integrating model development, aiming to compete with leading LLM developers.
- · OVHcloud
- · European cloud infrastructure providers
- · European AI startups
- · US hyperscalers in Europe
- · European companies overly reliant on foreign LLMs
OVHcloud will invest more in AI model development and potentially attract more European customers seeking data sovereignty.
Increased competition could lead to a fragmentation of the global LLM market, with regional models tailored to local data and regulations.
This could accelerate the creation of a 'European Digital Single Market' for AI, requiring specific policy interventions for data governance and computational resources.
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