On the occasion of the publication of its turnover for the first quarter of 2026, OVHcloud did not only provide a financial update. During a webinar organized with investors, Octave Klaba, recently returned to operational control, mainly sought to clarify a strategic repositioning. The message is now clear: the group intends to assert itself as a European cloud player in its own right, and no longer solely as a French champion of digital sovereignty. Decryption.
French exposure still dominant in revenues
OVHcloud has carried out 275 million euros in turnover in the first quarterdisplaying a organic growth of 6%. The group today has more than 1.6 million customersoperates 46 data centers and employs approximately 3,000 employees. Despite this industrial footprint, the income structure remains very concentrated.
Next to 50% of turnover is still made in Francea level that the manager now considers to be a significant factor of vulnerability. “We see very clearly that by having 50% of the turnover in France, as soon as France coughs, we cough too,” underlines Octave Klaba, who at the same time points out the gap between the potential of the model and its current execution. “In a cloud provider, we have the means to be independent of seasonality or the macro effects of certain countries, since we are global by nature. »
A rapidly expanding European cloud market and unprecedented momentum
OVHcloud estimates the European cloud market at around 86 billion euroswith a so-called sovereign share expected to grow significantly by 2026. For comparison, the European telecommunications market is estimated at around 265 billion eurosbut with significantly more moderate growth.
According to the projections mentioned, the cloud should exceed telecommunications in value over the next decade, and Octave Klaba hopes that this dynamic will constitute the macroeconomic basis of OVHcloud’s European ambition.
Sovereignty repositioned as an economic lever
Historically associated with the French sovereign cloud, OVHcloud wishes to adjust its position. If sovereignty remains central, it must now be thought of as a exportable industrial attributeand not as a strictly national framework.
“Our response is not only French,” insists Octave Klaba. “When we develop a secure product, we are not only addressing the public sector, but also private companies. »
It discusses concrete needs in terms of encryption, environmental isolation, private networks and regulatory compliance, particularly for operators of vital importance and sectors subject to strong constraints.
Certification SecNumCloudoften perceived as a Franco-French standard, is part of this broader vision. “If we know how to do SecNumCloud in Paris, we know how to do it in Milan, we know how to do it in Berlin,” says the manager, suggesting a capacity for industrial replication on a European scale.
An infrastructure strategy based on European regions
This ambition is reflected in the physical organization of the network. OVHcloud now thinks in regionsand no longer only in countries, each region relying on several interconnected data centers intended to operate in a coordinated manner.
Paris is the first mature region, Milan recently entered production, and Berlin was announced for opening in first quarter 2027. “This is much more redundancy than what was previously offered,” explains management, highlighting architectures capable of meeting the service continuity requirements of large European companies.
This approach aims to bring OVHcloud closer to the multi-zone standards of hyperscalers, while maintaining complete control of the infrastructure and data flows on European soil.
A long-term brand and acquisition ambition
This repositioning is not limited to infrastructure and also concerns notoriety and customer acquisition. Octave Klaba formulates an explicit objective for 2030. “The question I ask the teams is how to ensure that in 2030, all European citizens know that OVH exists. How can we ensure that their digital journey starts with us, then they can grow and consume all of our products. »
This statement refers to a long-term strategy based on self-service, gradual upscaling and increasing average revenue per customer. The fact remains that OVHcloud’s communication remains limited, constrained by a very strong technological culture where we still often consider that the product is sufficient in itself. To support its ambitions, the group will have to invest more in its communication and correct this bias, a real cultural issue.
Commercial execution identified as a priority
If the technical foundations are considered solid, commercial execution remains, according to its founder, the main future project. “The products are there, the data centers are there. What remains to be done is to establish the commercial force and the go-to-market,” recognizes Octave Klaba.
The current organization, historically structured by country, is being called into question. It is not considered optimal for a pan-European digital acquisition, nor for the signing of large-scale corporate contracts.
The same observation applies to customer experience. “Creating an account, putting in a bank card, starting the products, using them, support: all this is vitally important,” he admits, highlighting the ongoing efforts on the website, customer area and support tools.
An economic reading of European competition
Faced with competing initiatives carried out by large industrial groups around the sovereign cloud, the manager adopts a factual approach. “Technologically, well done,” he concedes, while questioning their economic viability. “The complexity that they have put in place, how much is it going to cost? Will customers know how to pay? »
Without naming them, Octave Klaba refers to the sovereign cloud initiatives carried out by large industrial groups in partnership with hyperscalers, in particular S3NS, the joint venture of Thales and Google Cloud.
Conversely, OVHcloud claims an ability to pool its investments on a European scale.
“We need to be able to offer this type of offer everywhere, not just in France,” he insists.
Financial discipline presented as a condition of credibility
This European ambition is accompanied by clear financial objectives, with expected annual growth of between 5 and 7%, an adjusted EBITDA margin of between 30 and 32% and a return to positive free cash flow. The group also insists on its control of the supply chain and on increased anticipation of its purchases of servers and components, in order to secure its investments and its margins in a context of industrial tensions.
An ambition set, an execution still awaited
“I don’t want to come back and talk nonsense,” concludes Octave Klaba. “I want to come back when we have certainty. »
The strategic repositioning is clearly announced, the question is therefore no longer that of intention, but that of OVHcloud’s capacity to align its commercial organization, its customer experience and its financial discipline with this European ambition. The next few years will make it possible to measure whether this trajectory can be translated sustainably into the figures.
The European cloud market remains largely dominated by American hyperscalers. Amazon Web Services, Microsoft Azure and Google Cloud together account for around 60 to 65% of the global public cloud, with annual revenues each exceeding tens of billions of dollars. Their lead is based on global coverage, extensive functional depth and exceptional investment capacity.
Faced with them, the European cloud remains fragmented. Players like Scaleway in France, IONOS in Germany or Aruba Cloud in Italy position themselves mainly on targeted segments, often oriented towards developers, SMEs or national sovereignty. Their turnover is generally between a few hundred million euros and less than a billion, with a more limited geographical coverage.
Other European players, such as Claranet, operate more as managed service and cloud integration providers than as industrial clouds. Their added value lies in the support, migration and operation of hyperscaler or hybrid environments, rather than in complete control of the infrastructure.
In this context, OVHcloud occupies a unique position. With an annual turnover of just over a billion euros, 46 data centers, 1.6 million customers and end-to-end vertical integration, the group is the only European player to combine such an industrial base with a structured multi-country presence. Its strategy aims to position itself between two worlds: to offer a credible alternative to hyperscalers in terms of infrastructure and compliance, while distinguishing itself from more specialized European clouds by a capacity for pooling and scaling up on a continent-wide scale.
