The Next Five Years Will Be the Transition to the Public Cloud

Gérard Hoffmann, CEO & Managing Director of Proximus NXT, discusses the challenge of transitioning to the public cloud for businesses, and the accompanying governance issues. He also emphasizes the need for a company like Proximus NXT to stay closely aligned with the business priorities of its clients.

The Luxembourg framework is opening up, allowing easier access to the public cloud. How does Proximus NXT position itself in this new environment?
Luxembourg is no different from the rest of the world. The global trend for economic actors is a gradual adoption of the public cloud. The Luxembourg framework, with the recently passed law on professional secrecy and the cloud circular adopted by the regulator, will notably allow the use of the public cloud for the financial sector. For us, this technology is a growth driver. Currently, perhaps only 2% of global business activity relies on the public cloud. The transition will be gradual, but inevitable. This represents a large open market, which we aim to capture with our offering. The next five years will be those of the transition to the public cloud. Our current strength lies in our ability to combine private and public cloud solutions depending on client needs.

Under what circumstances should organizations consider transitioning to the public cloud?
From a technical resource perspective, the private cloud is not necessarily more expensive than the public cloud. Cost differences mainly arise in associated services, support, and systems management. Generally, the choice between models is not solely based on cost. The public cloud is likely the most attractive solution when resources need to scale rapidly, or when varied environments must be deployed quickly in a fast-growing context. For organizations that require a stable environment, the private cloud remains a compelling option. Both models can coexist. Already, we provide our clients access to the public cloud through a partnership with Microsoft Azure. Discussions are also underway with Google, which is positioning itself ambitiously in this sector. Depending on client needs, we can explore opportunities offered by these public clouds and their solution ecosystems. With our expertise, our role is to guide clients closely in deploying IT environments that meet their requirements, balancing private and public cloud, while implementing optimal governance.

With the rise of the public cloud, the role of integrators and operators has fundamentally changed… As IT resources become a “commodity,” how do you create value?
We support our clients and invest in innovation to stay close to their business needs. We have invested in FinTech, developing solutions to meet diverse market demands. For example, we have built an application toolset that allows financial sector actors to better comply with KYC requirements. We are also developing blockchain-based applications with a focus on the financial sector. Another area of focus is PSD2, enabling banks to open up more easily. Further developments are planned in artificial intelligence. We maintain an integration-driven approach, using in-house solutions or sourcing externally, such as from start-ups, to address client needs. Through these well-integrated solutions within a coherent IT environment, we support our clients in their digital evolution.