OVHcloud announced that it has signed a binding agreement to acquire Dragon LLM, a French developer of specialized generative AI models focused on regulated industries, marking the company’s first acquisition and a strategic move to strengthen its position in artificial intelligence.
Dragon LLM, formerly known as Lingua Custodia, develops high-performance, cost-effective AI models tailored for enterprise use cases, particularly in sectors that require strict data governance. The company’s models are designed to be deployable on local infrastructure, aligning with growing demand for data sovereignty in Europe.
Through the acquisition, OVHcloud will integrate Dragon LLM’s technology and expertise to enhance its generative AI offerings, particularly for customers handling sensitive data. The company plans to deliver new AI services that can be deployed both in the cloud and on-premises environments.
The transaction also marks the launch of OVHcloud’s AI lab, which will focus on training and fine-tuning sovereign large language models. The initiative is intended to expand OVHcloud’s capabilities in building trusted AI solutions while reinforcing its positioning as a European leader in cloud infrastructure and data sovereignty.
OVHcloud said the addition of Dragon LLM’s team will strengthen its internal expertise in model fine-tuning and accelerate the development of new AI-driven services for enterprise customers.

