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

Published by Global Banking & Finance Review

Posted on April 23, 2026

2 min read

· Last updated: April 24, 2026

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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,

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

France's Shift Towards Cloud Sovereignty and Data Security

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.

European Cloud Sovereignty Initiatives

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

Other European Countries' Moves

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.

Scaleway's Growing Role in Europe

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.

Health Data Hub: Security and Compliance

Technical Evaluation and Responsibilities

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.

Background: Microsoft Azure and Legal Scrutiny

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

Data Privacy and Legal Concerns

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.

Microsoft's Admission Before French Senate

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.

Additional Information

($1 = 0.8553 euros)

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

Key Takeaways

  • France shifts its Health Data Hub from Microsoft Azure to Scaleway to ensure data sovereignty and comply with 2024 law excluding U.S.-subject providers (Cloud Act concerns) (mediaterranee.com)
  • The European Commission awarded a €180 million, six‑year sovereign cloud framework to four European providers, including Scaleway, under strict sovereignty criteria (datacenterdynamics.com)
  • Scaleway qualifies at the highest sovereignty levels (SecNumCloud 3.2, SEAL‑3), reinforcing France’s and the EU’s move away from U.S. hyperscalers for critical public data infrastructure (tech-insider.org)

References

Frequently Asked Questions

Why did France replace Microsoft Azure for its Health Data Hub?
France replaced Microsoft Azure with Scaleway to comply with new laws requiring sensitive data to be hosted on sovereign-guaranteed infrastructure, excluding providers subject to the U.S. Cloud Act.
What company will host France's Health Data Hub now?
Scaleway, a domestic cloud provider and subsidiary of Iliad, will now host France's Health Data Hub.
What sparked the change in cloud providers for France's health data?
The switch was driven by legal and political concerns about foreign access, and a new law mandating sovereign-guaranteed data hosting.
How was Scaleway chosen as the provider for the Health Data Hub?
Scaleway was evaluated against more than 350 technical criteria before being designated as the future host for the Health Data Hub.
What is the significance of the U.S. Cloud Act in this decision?
The U.S. Cloud Act allows U.S. authorities to access data hosted by American firms, even if stored abroad, prompting France to seek a domestic provider.

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