The deal itself sees Wipro get its first datacentre in Europe and from it the Indian supplier will offer services to other customers.
With virtualisation technology datacentres have much more capacity and it is possible for suppliers to use their expertise to bring in multiple customers.
This could kick off Wipro's bold cloud strategy in Europe.
Wipro CTO, I Vijay Kumar, filled me in on Wipro's plans for cloud computing back in March. Its implementation in Europe depended on it getting datacentres.
In the US and India, where Wipro owns lots of datacentres it is already building its cloud computing infrastructure. Customers will soon be able to buy cloud services from Wipro.
Capgemini's UK outsourcing cheif Greg Hyttenrauch told me in March that there was no reason businesses should not sell the raw computing power they do not need?
Capgemini could virtualise a customer's datacentre and free up 50% of the computing power. This could then be segregated through security technology and made available to other customers of Capgemini if they require more raw computing power during peak demand.