France swaps Microsoft for Iliad's Scaleway to repatriate health data hub

April 23, 2026 8:19 AM EDT

By Leo Marchandon

April 23 (Reuters) - ‌France has chosen ​domestic ​cloud provider Scaleway, a subsidiary of Iliad, to host the country's Health Data Hub, replacing Microsoft Azure in a ‌long-contested arrangement, Scaleway said on Thursday.

The decision fits into a ⁠broader shift as Europe seeks cloud sovereignty independent of U.S.-based Big Tech.

In Germany, the state ‌of Schleswig-Holstein is migrating 30,000 ‌government workstations away from Microsoft products, while Denmark's digital affairs ministry is switching to open-source LibreOffice following similar moves by the cities ​Copenhagen and Aarhus.

The contract also adds to the French cloud provider's momentum in Europe. Earlier in April, the European Commission awarded a ⁠180 million euro ($210 million) cloud tender to Scaleway, Post Telecom, OVHcloud and STACKIT.

Scaleway, evaluated against more ​than 350 technical criteria, will be responsible for securing health records covering tens of millions of French citizens. The ​new platform is set to be ‌operational between late 2026 and early 2027.

The French government in 2019 chose Microsoft Azure to host health data without ⁠a competitive tender, drawing sustained legal and political scrutiny.

France's data watchdog refused to greenlight a permanent transfer of the full dataset, citing risks linked to ⁠the extraterritoriality of U.S. laws.

France's national cybersecurity agency later established its SecNumCloud certification framework ​imposing stringent requirements for critical data, notably ruling that access to the data could not be gained by means of non-European legislation, de facto excluding U.S. providers and ‌their European subsidiaries.

A follow-up law passed in 2024 mandates that sensitive data be hosted on sovereign-guaranteed infrastructure.

Last year, ‌under oath before the French Senate inquiry commission, Microsoft's legal director admitted ⁠the company could not oppose ‌a U.S. injunction targeting ​French citizens' data, even if it was hosted in France.

($1 = 0.8553 euros)

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



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