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The European Central Bank (ECB) has selected two groups of technology and telecommunications providers to deliver network connectivity services for the proposed digital euro. The selected providers will connect payment service providers (PSPs) and national central banks to the digital euro service platform, supporting the infrastructure required for the initiative’s development and potential launch.
The contracts follow an invitation to tender issued by the ECB last year. The successful groups comprise Deutsche Telekom and Nexi Payments, alongside a Spanish consortium made up of Telefónica de España, Telefónica Global Solutions and Indra Soluciones Tecnologías de la Información.
Two consortia selected for digital euro connectivity
The agreement involving Deutsche Telekom and Nexi Payments has a 10-year term and has already commenced. Its initial responsibilities will include providing connectivity for the digital euro pilot project, which is scheduled to begin next year.
The contract awarded to the Spanish consortium is expected to take effect in May 2027.
Both provider groups are expected to have the required connectivity services ready by 2029, ahead of any potential issuance of the digital euro. The currency’s eventual launch remains subject to the necessary final approvals.
If the digital euro proceeds to issuance, payment service providers offering it will be able to choose between the two network service providers to connect to the digital euro service platform.
Connectivity infrastructure designed for scale and resilience
Deutsche Telekom and Nexi Payments said their solution would provide a robust and scalable connectivity and mediation platform to facilitate the end-to-end exchange of digital euro transactions across the wider service platform ecosystem.
The proposed infrastructure is designed to support the reliable delivery of digital euro services to end-users, with an architecture capable of accommodating changing transaction volumes and periods of peak demand.
Its scalability and flexibility are intended to allow network resources to be adjusted as usage requirements evolve, supporting the performance and availability expected of a payment system operating across multiple institutions and jurisdictions.
Digital euro linked to Europe’s strategic autonomy
The selection of the network providers represents another step in the ECB’s preparations for a potential digital euro, with connectivity and infrastructure forming important components of the proposed payment ecosystem.
Gottfried Ludewig, Senior Vice President and leader of the Public Sector and Health Industry at Deutsche Telekom, said the company’s involvement was connected to Europe’s broader digital infrastructure ambitions.
“Deutsche Telekom is helping build the secure, resilient digital infrastructure Europe needs to protect its institutions, strengthen its strategic autonomy and advance its digital sovereignty,” Ludewig said.
The contracts establish a framework for connecting participating payment service providers and national central banks to the digital euro platform. However, the selection of infrastructure providers does not constitute a final decision to issue the currency.
With both consortia expected to be ready by 2029, the ECB’s next steps will continue to focus on developing the technical foundations required for a potential digital euro, while the final decision on issuance remains subject to the European Union’s approval process.
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