# French cloud provider OVH lines up diesel generators to offset potential power cuts
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2022-09-13
Category: NEWS
Category URL: https://financedigest.com/category/news
Meta Title: OVHcloud France prepares for potential power cuts with
Meta Description: OVHcloud, France&#039;s top cloud services provider, is ready for potential power cuts by lining up diesel generators to ensure business continuity.
URL: https://financedigest.com/french-cloud-provider-ovh-lines-up-diesel-generators-to-offset-potential-power-cutshtml

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By Mathieu Rosemain

STRASBOURG, France (Reuters) – OVHcloud, France’s biggest home grown cloud services provider, is bracing for potential power cuts later in the year by lining up diesel generators, its chief executive said on Monday.

Europe is striving to lower its dependence on Russia’s gas ahead of the coming winter in the wake of the war in Ukraine. While France relies less than its neighbours on Russian supplies, the government has [warned businesses](https://www.financedigest.com/pitiless-machines-will-kill-your-business-if-you-dont-respond-now-warns-servion.html "‘Pitiless machines’ will kill your business if you don’t respond now, warns Servion") they may face power rationing and urged them to cut consumption.

OVHcloud is considered a vital infrastructure by the French government, and thus mostly shielded by potential [power cuts](https://www.financedigest.com/france-strains-to-avert-power-cuts-as-cold-snap-tests-europes-energy-resolve.html "France strains to avert power cuts as cold snap tests Europe’s energy resolve"). Still, the company is bracing for the worst, CEO Michel Paulin told reporters after unveiling a new data [centre in the northeastern city](https://www.financedigest.com/why-are-there-so-few-apartments-to-rent-in-liverpool-city-centre.html "Why are there so few apartments to rent in Liverpool city centre?") of Strasbourg.

We test our (diesel) generators every month to every two months,” Paulin said, warning however that OVHcloud would not be able to use such an [alternative source of energy](https://www.financedigest.com/powered-by-poo-ten-weird-and-wonderful-alternative-energy-sources-that-could-soon-be-powering-our-homes-2.html "POWERED BY POO: Ten weird and wonderful alternative energy sources that could soon be powering our homes") for long.

“We’ve filled our tanks…(but) these systems are not meant to run for weeks,” he said.

The French finance ministry is drafting a list of critical industries and [sectors that should not suffer any power cuts](https://www.financedigest.com/citi-pledges-to-cut-emissions-for-more-sectors-including-coal.html "Citi pledges to cut emissions for more sectors including coal").

We have taken many measures, but it depends on the severity of the winter,” a finance ministry official said, adding that telecommunications and [cloud services](https://www.financedigest.com/tomorrows-world-how-cloud-computing-will-impact-the-financial-services-sector-in-2016.html "TOMORROW’S WORLD: HOW CLOUD COMPUTING WILL IMPACT THE FINANCIAL SERVICES SECTOR IN 2016") providers were considered key to keep France going.

A report by the European Commission estimated that the cloud services industry accounted for as much as 4% of the EU’s total energy consumption, and that the [share was set to rise](https://www.financedigest.com/u-s-mid-tier-lenders-shares-rise-in-frankfurt-after-svb-deal.html "U.S. mid-tier lenders shares rise in Frankfurt after SVB deal") by almost a third by 2030.

The [continuation of OVHcloud’s power-hungry services is even more vital for its business](https://www.financedigest.com/crafting-a-business-continuity-cybersecurity-plan.html "Crafting a Business Continuity Cybersecurity Plan") and reputation, as the company, which went public 1-1/2 years ago, competes with U.S. tech giants like Amazon.com Inc, [Microsoft Corp and Alphabet’s Google](https://www.financedigest.com/microsoft-unveils-ai-office-copilot-in-fast-moving-race-with-google.html "Microsoft unveils AI office copilot in fast-moving race with Google"), which dominate data storage worldwide.

Last year, OVHcloud suffered a [major fire that took down four of its data centres](https://www.financedigest.com/keysource-awarded-major-contract-to-design-nationwide-network-of-data-centres-throughout-china.html "KEYSOURCE AWARDED MAJOR CONTRACT TO DESIGN  NATIONWIDE NETWORK OF DATA CENTRES THROUGHOUT CHINA") in Strasbourg.

[Paris is eager to build capacity to store sensitive data in France amid concerns](https://www.financedigest.com/paris-considers-electric-scooter-ban-over-safety-concerns.html "Paris considers electric scooter ban over safety concerns") the U.S. government can obtain data kept on the servers of the [huge companies based there following](https://www.financedigest.com/huge-crowds-follow-queens-funeral-in-silence-and-awe.html "Huge crowds follow queen’s funeral in silence and awe") the adoption of the U.S. Cloud Act in 2018.

OVH presents itself as a secure, domestic alternative to its biggest rivals, and [Finance Minister Bruno Le Maire also attended the unveiling of the data](https://www.financedigest.com/data-analytics-scenario-planning-and-the-finance-department.html "Data analytics, scenario planning, and the finance department") centre in Strasbourg.

If we want to be sovereign, we must not have our [data stolen,”](https://www.financedigest.com/frances-thales-says-hackers-claim-to-have-stolen-data.html "France’s Thales says hackers claim to have stolen data") Le Maire said.

Yet OVH is tiny compared to the established U.S. companies. It generated sales of 202 [million euros](https://www.financedigest.com/hellofresh-sees-2023-core-profit-of-460-540-million-euros.html "HelloFresh sees 2023 core profit of 460-540 million euros") ($205 million) in the quarter that ended on May 31, compared to revenue close to $20 billion for Amazon’s cloud services branch in the three months to the end of June.

($1 = 0.9874 euros)

(Editing by Silvia Aloisi and Bill Berkrot)


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