Cubbit - the first distributed data-center recycling the internet resources we waste into the most competitive cloud provider.

Project Information

Community Cloud

Grant agreement ID: 874313

DOI

10.3030/874313

Project closed

EC signature date 25 September 2019

Start date 1 October 2019

End date 30 September 2021

Funded under

• INDUSTRIAL LEADERSHIP - Innovation In SMEs

Total cost

€ 2 741 072,50

EU contribution

€ 1 918 750,00

Coordinated by

CUBBIT SRL
Italy

Periodic Reporting for period 3 - Community Cloud (Cubbit - the first distributed data-center recycling the internet resources we waste into the most competitive cloud provider.)

Reporting period: 2021-01-01 to 2021-09-30

Summary of the context and overall objectives of the project

All companies using cloud services look for excellent performances, competitive prices, and the highest standards of privacy. Yet, no cloud provider is currently able to provide all these three benefit together. This pain point arises because the current standard of centralized cloud (i.e. one proprietary web farm serving millions of users) has huge operating costs and recurring weaknesses concerning data security.
Cubbit develops a technology able to disrupt the global cloud industry by replacing the root cause of its problems, i.e. centralized server farms, with a distributed data center based on a peer-to-peer network free from infrastructural costs, highly scalable, and secure by design.
Cubbit turns the storage, CPU, and bandwidth provided by its users - who access the first ever forever-free end-to-end encrypted cloud storage service - into professional web services sold to SMEs customers - who finally get a secure, efficient, and inexpensive cloud.
While around 70% of the revenues made by traditional cloud providers are burnt into direct operating costs, Cubbit turns the costs into a revenue stream as it gains a margin on every domestic server activated.
Cubbit is also environmentally sustainable, using up to 10 times less energy than centralized cloud. For every TB you store on Cubbit, you save the gross equivalent to up to 100 kgCO2/year.
Founded in July 2016 and based in Bologna, Italy, the company is the first Italian startup ever invested by Techstars. With the Series A Round closed in 2021, the company is now backed by 4 VC funds, 1 Corporate Partner and 1 Club of 50+ Business Angels.

Work performed from the beginning of the project to the end of the period covered by the report and main results achieved so far

The Project aimed to reach two objectives:
(i) reach TRL9 of Cubbit for Individuals, so to start then the mass commercialization of the B2C cloud service that will grow the infrastructure of the distributed data-center;
(ii) reach TRL9 of Cubbit for Business, so to start then the the commercialization of the first B2B cloud service sold through the distributed data-center.

The Project lasted for 24 months, until 30 Sep 2021. Despite the COVID-19 impact (which lead us to re-think the development strategy of Cubbit for Business especially), all the milestones were reached:
> MVP of Cubbit for Individuals goes on sale -> 5,000 Cubbit Cells sold
> MVP of Cubbit for Business goes on sale -> 500 subscriptions sold
> Closure of Series A round (final raise oversubscribed at €3.52M vs the original target of €1.8M).
> Cubbit for Individuals reaches TRL9 and becomes ready for mass commercialization
> Cubbit for Business reaches TRL9 and becomes ready for commercialization

Throughout the whole duration of the Project, Cubbit has updated on a regular basis its community of users, clients, stakeholders and market co-players on the R&D progress of Cubbit's breakthrough technology, in order to make it a viable tool to further progress towards EU Digital Sovereignty.

Progress beyond the state of the art and expected potential impact (including the socio-economic impact and the wider societal implications of the project so far)

Cubbit has introduced the world’s first distributed cloud provider, going beyond the traditional system of centralized data-centres as well as the decentralized paradigm suggested by blockchain-based marketplaces.
Privacy by design, eco-sustainability (40,000kg of CO2 emissions saved on avg. every year per PB stored) and unmatchable cost advantage for final users and SMEs: this is the innovation that could be developed thanks to the Project.

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