The European Central Bank (ECB) has awarded a 10-year contract to payments technology firm Nexi and telecommunications operator Deutsche Telekom, naming the two companies as one of the connectivity providers for the planned digital euro infrastructure. The partnership covers the development and operation of the network that will link the digital euro platform to financial institutions and other authorized participants across the euro area.

The digital euro is the ECB's planned central bank digital currency, and the connectivity contracts represent a foundational component of the infrastructure it will run on.

The contract was secured through the ECB's negotiated public procurement procedure for Network Service Provider (NSP) connectivity, with Nexi and Deutsche Telekom bidding as a temporary joint grouping. The two companies will also deliver network services for the digital euro pilot project.

A second connectivity provider has also been identified: Spain's Telefónica, working with technology firm Minsait. That contract is expected to begin in May 2027, which leaves Nexi and Deutsche Telekom set to provide connectivity for the project's early phase, including the pilot.

With the appointments, the ECB moves a step closer to the digital infrastructure the digital euro will require, relying on Nexi and Deutsche Telekom to supply secure and reliable connectivity across the European payment ecosystem.

Dedicated Network for the Digital Euro Platform

The network developed by Nexi and Deutsche Telekom will connect the data centers hosting the components of the Digital Euro Service Platform (DESP) and extend access to external participants, including payment service providers and national central banks.

This connectivity layer is expected to form a critical piece of the digital euro's technical architecture, giving institutions and service providers a channel to communicate with the central platform and process transactions.

Nexi said the joint offering pairs network connectivity with a mediation platform built to handle the end-to-end exchange of digital euro transactions across the DESP ecosystem.

The design allows capacity to be scaled in line with network requirements, accommodating changing transaction volumes and periods of heightened demand while keeping service availability consistent.

That flexibility is particularly significant for a digital currency infrastructure intended to support payments among consumers, merchants, banks and public institutions across multiple European countries. Dedicated links between the platform's data centers and external participants are intended to keep communication and transaction processing reliable throughout the digital euro ecosystem.

Executives Frame the Deal as a Boost for European Digital Sovereignty

Nexi Group CEO Bernardo Mingrone described the award as a significant milestone for the company and its position as an infrastructure provider in Europe's payments industry. He characterized the digital euro as an important initiative for the future of European payments, one that could contribute to strengthening the region's digital sovereignty.

Mingrone added that the 10-year term reflected Nexi's technological capabilities and its experience supporting banks, businesses and financial institutions throughout the euro area. The partnership also places Nexi in a long-term infrastructure role within an ECB-led initiative, extending its involvement beyond conventional merchant payment processing and digital banking services.

Deutsche Telekom, for its part, emphasized the importance of secure and resilient digital infrastructure for Europe's financial ecosystem. Gottfried Ludewig, the company's senior vice president and leader of its public sector and health industry operations, said the collaboration builds on Deutsche Telekom's involvement in strategic European technology initiatives.

Those initiatives include European quantum communication infrastructure and the IRIS² satellite program, both of which are intended to strengthen Europe's technological independence and digital capabilities.

Digital Euro Development Enters Another Infrastructure Phase

The appointment of the connectivity providers marks further progress in preparing the technical foundations for the digital euro, for which reliable network infrastructure will be essential to connect participating institutions and enable the exchange of payment information across the system. The project is also the euro area's contribution to a broader effort in which central banks around the world have been researching, and in some cases piloting, central bank digital currencies.

The 10-year agreement also highlights the ECB's focus on developing resilient European payment infrastructure that can operate at scale while reducing dependence on external technology ecosystems.

Nexi, which is listed on Euronext Milan, operates across three principal business segments: merchant solutions, issuing solutions and digital banking solutions. Its participation in the digital euro project could strengthen its position in Europe's evolving payment infrastructure market, while Deutsche Telekom brings telecommunications expertise and experience in large-scale digital infrastructure projects.

The two companies will now contribute to the connectivity framework supporting the digital euro pilot and the broader development of the ECB's digital currency infrastructure, with the pilot set to put these network foundations to the test.