Google Cloud and Spain-based telecom giant Telefónica signed a deal that will see Google open a new cloud region in Spain that will tap into Telefónica’s Madrid-region infrastructure. The new setup will also have Telefónica use Google Cloud to bolster its own services and target 5G deployments using the public cloud provider's Mobile Edge Computing platform.

The combination will allow customers in Spain to access Telefónica’s telecommunication and cloud services in the region and also use Google Cloud products with lower latency and higher performance. Those customers will also be able to store their applications in the local public cloud servers, which is increasingly important for companies that have to deal with data sovereignty and GDPR issues.

The new Google Cloud region will include three zones to provide for redundancy. It will launch with support for a handful of Google Cloud Platform (GCP) services like Compute Engine, App Engine, Kubernetes Engine, Cloud Storage, Spanner, and BigQuery.

Telefonica’s recently created Tech cloud business will use the platform to boost its multi-cloud plans. That business was established late last year as a way to centralize Telefónica’s cloud, security, IoT, and big data operations. The division said it expects to generate more than $2.2 billion in revenues beginning in 2022.

The latest deals follow an agreement in April between Telefónica’s ElevenPaths security business and Google Cloud’s Chronicle business. The deal will see Chronicle’s security analytics services integrated into ElevenPaths’ managed security services for enterprises in Europe and Latin America.

The deal is also another feather in the cap of Google’s push into the burgeoning mobile edge market.

The company unveiled its Global Mobile Edge Cloud platform earlier this year. It’s designed as an open cloud platform that allows the cloud provider and network operators to jointly develop applications and a distributed edge. The launch included an initial deal with AT&T.

The platform is Google’s response to similar offerings from Amazon Web Services (AWS) with its Wavelengths platform and Microsoft’s Azure Edge Zones platform.

Telefónica was one of the initial operators to sign up for Microsoft’s similar Azure Edge Zones platform that launched earlier this year. And the operator was a founding member of the Multi-Operator Multi-access Edge Computing Experience that was unveiled in March in association with industry trade group GSMA and a similar deal with GSMA known as the Telco Edge Cloud initiative.