#64 Evroc
Europe's first sustainable hyperscale cloud
Read time: 5 minutes
Hi, I’m Javi Gascón.
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Today we’ll distill a company that’s empowering Europe with home-grown, eco-friendly cloud solutions and data sovereignty: Evroc 🇸🇪
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What Problem Does Evroc Tackle❓
Evroc tackles several interconnected problems in the European cloud computing landscape:
1. Data Sovereignty and Privacy: European companies and citizens are reliant on US-based cloud providers, which can conflict with European GDPR regulations and expose data to the US Patriot Act. This poses a significant risk to data protection and sovereignty.
2. Lack of European Hyperscale Cloud Providers: The dominance of AWS, Microsoft, and Google in the global market has led to a decline in the market share of European cloud providers from 27% to 13% between 2017 and 2022. This threatens the long-term competitiveness of European industry.
3. Environmental Impact: Dat centers currently consume 3% of global electricity and are responsible for 2% of global CO2 emissions. Like the whole airline industry.
4. Regulatory and Compliance Issues: The divergence in regulations between countries and the lack of a unified European cloud infrastructure create compliance challenges and potential legal risks for European businesses using US-based cloud services.
Product / Service 📦
Evroc is creating a sovereign, sustainable, and secure hyperscale cloud infrastructure designed for the European market:
Sustainability: They are building the world’s cleanest cloud. It uses natural cooling, renewable energy, super-efficient hardware and cloud architecture, and dynamic optimization to optimize workloads based on electricity demand. 90% total energy savings vs on premise data centers.
Design: They want the data centers to have a smooth and elegant design and be integrated into the landscape.
Sovereignty and Security: The cloud ensures data privacy and security by storing data exclusively on servers within the European Union, complying with European privacy legislation.
Compliance and Adaptability: The cloud services are configurable to adapt to changing regulatory landscapes, ensuring compliance and ease of use for customers.
Performance and Reliability: Evroc offers a full suite of cloud services with a focus on modern serverless application architectures for high performance and reliability.
Market 🌐
The European cloud market is dominated by foreign providers, with American companies controlling over 80% of the market. Within the next 6 years the market is expected to grow 7X and Evroc aims to capture a significant portion of it by establishing a network of hyperscale data centers across Europe.
Other Key Players
Besides the obvious Amazon, Microsoft, Google, there’s some sustainability-driven EU players:
Fuzion 🇩🇰: Provides secure and energy-efficient data centers, cloud, hosting, and internet solutions for European companies.
Hivenet 🇸🇪: Distributed cloud storage and computing platform that leverages unused storage and computing power from various devices to reduce e-waste and energy consumption.
There are also some coalitions among large EU tech companies to provide cloud solutions like the “MicroStrategy Sovereign European Cloud” and “Virt8ra” but sustainability is not at their core.
What Evroc is doing is on a whole other level in terms of scale and sustainability.
Founding Story 🦄
Evroc was founded in 2022 by serial entrepreneurs Mattias Åström, Andreas Birnik, and Andreas Jönsson. Mattias (CEO) founded and led several tech companies that were later acquired by major firms like Apple and Nokia. After spending over a decade building in the United States he returned to his native Sweden to address the critical issues his co-founders also saw…
American cloud providers were taking over the European market, which poses significant challenges to data privacy and sovereignty concerns. On top of that, data centers were becoming a massive environmental issue worldwide.
To address these issues Evroc secured initial funding from EQT Ventures and Norrsken VC. The company raised €15 million in seed funding and plans to raise €3 billion over the next couple of years to develop and operate two hyperscale data centers in Europe.
They want to establish 8 hyperscale data centers and three software development hubs across Europe by 2028, with the goal of employing over 3,000 people.
Top Impact Stats 📈
1. Evroc’s hyperscale cloud data centers will run on 90% less energy than traditional local data centers.
2. Evroc aims to distribute non-urgent data between centers based on where renewable energy is most readily available and affordable, such as using solar power in Spain, wind power in the Netherlands, and hydroelectric power in Sweden.
3. The data centers will exclusively run on renewables and will be located in strategical locations to take advantage of natural cooling.
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