Netherlands Signs First European Cloud Deal to Cut US Reliance

The Netherlands just took a big step toward controlling its own digital future by signing its first agreement with a European cloud storage provider.

The Dutch government partnered with StackIT, a German cloud service owned by the Schwarz Group (the company behind Lidl and Kaufland supermarkets). Ministries can now choose StackIT alongside existing options like Google, Microsoft, and Amazon, which currently host most government systems.

The timing matters. Right now, 67% of the 16,500 websites used by Dutch government bodies, hospitals, and schools connect to at least one American cloud service. Under US law, American tech companies can be forced to hand over data to US authorities, even when that information is stored in Europe.

The new agreement includes smart protections. All data must stay within the European Economic Area, the government can audit StackIT to verify compliance, and contracts can be canceled if StackIT gets bought by a non-European company.

Junior Minister for Digital Economy Willemijn Aerdts celebrated the partnership as a win for choice. "Digital autonomy means we can make our own choices from a diverse range of providers," she said. "That is why it is important we stimulate the European market."

Justice and Security Minister David van Weel called it "an important step in reducing our dependence on parties outside Europe and strengthening our digital resilience."

The Ripple Effect

This partnership arrives at a crucial moment. The Dutch cabinet faces a May 6 deadline to decide whether to extend a contract with Solvinity, the Dutch firm that runs DigiD, the digital identity system most residents use for tax, health, and public services.

The complication? American IT giant Kyndryl is buying Solvinity. Privacy advisers warn the takeover could put detailed information about everyone in the Netherlands within reach of US authorities. Parliament has already called on the government to end the contract if the sale goes through.

The StackIT deal doesn't force any government organization to switch providers or commit to minimum spending. But it opens doors that were previously closed.

By creating viable European alternatives, the Netherlands is showing other countries how to balance technological innovation with data sovereignty. The message is clear: you can embrace cloud technology without surrendering control of sensitive information.

The agreement took effect immediately, giving Dutch agencies a new path forward in an increasingly digital world.