OVHcloud Bets on Sovereign AI with the Acquisition of Dragon LLM

OVHcloud Strengthens Its AI Strategy with Dragon LLM

OVHcloud, the French hosting giant, continues its ambitious strategy in the field of artificial intelligence. By acquiring Dragon LLM, the company reaffirms its commitment to digital sovereignty, a concept dear to its founder, Octave Klaba.

During OVHcloud's annual event last November, Octave Klaba clearly stated that artificial intelligence was a central pillar of the company's strategy. Today, this vision is taking shape with the acquisition of Dragon LLM, a company specialized in generative AI models. Although the financial details of this transaction have not been made public, the strategic importance of this acquisition is undeniable.

Dragon LLM: From Fintech to Generative AI

Founded in 2011, Dragon LLM began its journey as a fintech, developing analytical solutions for the financial sector. Initially, it focused on financial institutions and the finance departments of large companies and mid-sized enterprises. However, the rise of generative AI led the company to realign its activities to fit this new technological trend.

This shift was marked by a rebranding: originally known as Lingua Custodia, the company adopted the name Dragon LLM. It then specialized in fine-tuning AI models for regulated industries, positioning itself as a European alternative to American tech giants.

An AI Laboratory for Sovereign Models

The acquisition of Dragon LLM by OVHcloud is part of a broader strategy aimed at establishing a dedicated laboratory for the development and adaptation of sovereign LLM models. This laboratory will allow OVHcloud to customize these models to meet the specific needs of sensitive sectors such as finance and healthcare, where sovereignty is crucial.

This initiative adds to OVHcloud's recent efforts to strengthen its position in the AI market. At its annual summit, the company launched the "Get your SaaS ready for AI" program, designed to help SaaS software publishers integrate agentic AI into their solutions. Additionally, a partnership with SambaNova, an American manufacturer of reprogrammable GPUs, was announced to enhance the inference speed of models.

Increased Competition with American Hyperscalers

In a context where competition with American hyperscalers is intensifying, OVHcloud must accelerate its technological development. The acquisition of Dragon LLM and the creation of this AI laboratory demonstrate the company's desire to position itself as a major player in AI in Europe, betting on innovation and sovereignty to stand out in a frenzied technological race.