Half of OVHcloud capacity is available, AI model launching in early 2027, CEO says

OVHcloud to Launch First AI Model in 2027 with Ample Cloud Capacity

OVHcloud's AI Ambitions and Cloud Capacity Overview

By Leo Marchandon

Oct 20 (Reuters) - OVHcloud expects to launch its first AI model in early 2027, its chief executive said on Tuesday, while adding that about half of the French company's connected cloud was available for new clients.

Cloud Capacity and Competitive Advantage

The available capacity means the cloud operator can onboard clients without spending on construction, while rivals must invest in additional capacity to serve regional demand.

Current Capacity and Expansion Potential

The company has 250 megawatts of capacity connected, of which 140 MW is in operation, leaving 110 MW ready to take on new business, CEO Octave Klaba told Reuters after OVH published its annual earnings report.

AI Model Development and Product Roadmap

OVHai Workspace and Pilot Release

Klaba also said OVHai Workspace, a productivity platform tuned on OVH's internal data running workplace apps such as email, would release its first pilot shortly, followed by the company's first AI model next year.

Technical Approach: Mixture-of-Experts Design

The model will use a mixture-of-experts design, which routes tasks to specialised sub-models, Klaba said. He had told Reuters in June that OVH had started its own AI models on Jupiter, Europe's fastest supercomputer, positioning the company as a potential European challenger to Mistral.

Critique of European AI and Cloud Strategies

State-Backed Computing Programmes

Klaba reiterated his criticism of Europe's state-backed computing programmes, saying their financing — half EU, half member state — naturally pushed projects toward national initiatives.

Impact on Data Centre Projects

He said this logic had produced a race of national data centre projects, none backed by a customer base to match.

Concerns Over EU AI Gigafactories

Last month, Klaba had said that national strategies for the European Union's planned AI gigafactories were "doomed to failure" and that a proposed €200 million public commitment to buy AI services over five years was too small to underpin the required private investment.

(Reporting by Leo Marchandon in Gdansk, editing by Milla Nissi-Prussak)