Siemens, SAP and BMW have teamed up to push Google and Amazon out of the German car industry

Siemens, SAP and BMW have teamed up to push Google and Amazon out of the German car industry.
12:23 GMT, Wednesday, December 2, 2020.


Germany’s leading firms, including Siemens, SAP and Deutsche Telekom, have formed an alliance with German car manufacturers. A cloud-based data sharing network that would not focus on American or Chinese technology will appear as part of the partnership. It allows automotive manufactures and their vendors in the manufacturing and supply chains to find bottlenecks.


Forum for German data sharing

Bloomberg writes that Germany’s leading manufacturing and technology firms, including Siemens, SAP, Deutsche Telekom and BMW, have developed an agreement to share data with automakers. A cloud infrastructure will appear within the context of the partnership, which will not focus on American or Chinese technology.

The European Gaia-X cloud system would be used by network users, not by American or Chinese data warehouses operated by for example, Amazon or Alibaba. Earlier, undercode wrote that the trial launch of Gaia-X is set for 2021 and European companies are working on it, including those from Germany and France.

The executive body of the EU is scheduled to spend EUR 2 billion and the remainder of the funds will come from all EU Member States and private industrial concerns. A new organisation – the European Alliance for Industrial Data and Clouds – will curate this large-scale occurrence.

According to German Economy Minister Peter Altmaier, value-added production and jobs in Europe would be provided by the partnership formed by the firms.

Bloomberg analysts note that European officials have been more wary of allowing international companies to store information in the midst of geopolitical uncertainties and trade wars, believing that domestic firms may lose leverage over sensitive proprietary consumer or product records.

US-Europe Ties History Attributable to Data

The strained situation between Europe and the United States due to the sharing of data occurred back in 2013, as Bloomberg previously reported, when a former US National Security Agency (NSA) employee, Edward Snowden, disclosed specifics of American surveillance systems.

In fact, Snowden provided confidential materials on the work of the American PRISM program to the Washington Post and Guardian. The NSA has been stated to be able to access e-mail, voice and video chats, transfer images, videos, files and read secret entries on social networks with the assistance of PRISM.

Another well-known data protection warrior, Austrian lawyer Max Schrems (Max Schrems), was inspired by the details exposed by Snowden to partake in a Facebook case in the courts of Ireland due to the collusion of the social network with American special services.

The presidency of Barack Obama, then the President of the United States, directed the special services to restrict the vast data collection, following the facts regarding the intelligence breach made public by Snowden. The Europeans were not persuaded, however. In July 2020, by prohibiting the movement of sensitive data from the EU to the United States under an arrangement known as the Privacy Shield, the European Court of Justice made it a lot tougher for foreign businesses. The European judges were of the view that the outsourcing of data to Americans puts EU people at risk of monitoring by the US authorities.

Creation of a European Collective Alliance

The proposal to create a German coalition to shield industries from the dominance of American and Chinese technologies forms part of a much larger, pan-European initiative.

undercode wrote in October 2020 that the EU will spend EUR 10 billion in the development of its own cloud infrastructure sector and that it will create an alliance to manage cloud ventures. Nearly all EU countries, with the exception of Denmark and Cyprus, signed a joint resolution by October 15, 2020, as the Politico portal wrote, promising to allocate public funds for the creation of clouds.

The executive body of the EU is scheduled to spend EUR 2 billion and the remainder of the funds will come from all EU Member States and private industrial concerns. A new organisation – the European Alliance for Industrial Data and Clouds – will curate this large-scale occurrence.

In order to create a common technology marketplace for commercial use the Cloud Partnership is a crucial aspect of the European Commission’s data policy.

A strategic strategy, investment plan, and next-generation cloud adoption plan for the public and private sectors must be approved by experts as part of the partnership. The partnership will present a set of guidelines for cloud infrastructure, the so-called Digital Services Regulation, and artificial intelligence regulations by December 2020, to be drawn up in early 2021. The agreement signed provides for the development of shared European standards for services to assist small and medium-sized companies, start-ups and the public sector in mastering cloud technology.

More generally, the partnership would promote the development of safer, more energy-efficient data centers and cloud platforms for all businesses, particularly small and medium-sized companies, start-ups and the public sector.