Oracle will open two new data centers in Germany to support the increasing demand for German cloud users to keep their data within Germany.

The new facilities in Frankfurt and Munich, are expected to be fully operational by the end of the year, and address the increasing demand for "data sovereignty" within Europe - following the revelations of surveillance by the the from US National Security Agency (NSA) and the UK's GCHQ.

In Germany, Microsoft has said it is likely to offer a German-only cloud hosted by a partner, in a bid to keep data created in the country safe from interception.

The two data centers will increase the choice available to German customers and will complement Oracle's facilities in the UK and the Netherlands the company said. Both facilities will support the deployment of cloud services to the German market and for customers whose cloud applications are deployed in Germany.

Colocation partners Interxion and Equinix will each build one of the two data centers.

Oracle EMEA EVP Loïc Le Guisquet said: "Germany has always been at the forefront of technology use and innovative approaches to business.”

The facilities will support Oracle ERP Cloud, Oracle HCM Cloud and Oracle Sales Cloud, Oracle Service Cloud and Oracle Talent Management Cloud.