Deutsche Telecom has launched a public cloud service delivered from its data centers in Germany.

The main selling point of the DSI Intercloud is it complies with the country’s notoriously strict data sovereignty laws. The data centers behind the service were built with Cisco’s Intercloud Fabric that simplifies deployment of hybrid infrastructure.

Prices for servers are starting at €0.05 per hour, and storage at €0.02 per gigabyte.

Additional SaaS and PaaS offerings on the Cisco cloud platform are scheduled for delivery in the first half of 2016.

Made in Germany

Data centers serving the DSI Intercloud will be run by Deutsche Telecom subsidiary T-Systems. The cloud services are aimed at organizations of any size, and available on a pay-as-you-go basis with no minimum purchase requirements or contract periods.

Security specialist Covata, which participated in a pilot test of the platform, will be the first customer to use the DSI Intercloud.

DT’s public infrastructure fits into Cisco’s Intercloud ecosystem, launched in 2014. The Intercloud Fabric is a collection of Cisco products that aims to make it easy to combine on-premise data centers with resources offered by multiple public cloud providers.

Deutsche Telekom is planning to continue expanding its data center footprint, and more than double its cloud revenue by the end of 2018.

“It is expected that the market for public cloud services, including infrastructure, platforms and applications will grow further. Here, Telekom intends to compete more fiercely with companies like Google and Amazon in the future,” stated the press release.

Last month, Microsoft announced it would launch two Azure data centers in Germany, but the servers would actually be managed by T-Systems as a “data trustee”.

This approach prevents Microsoft from accessing data of its customers, which means the company is simply unable to supply this data to the American intelligence agencies.