The Dutch government has signed a framework agreement with the German cloud platform Stackit. This makes it easier for government organizations to use European cloud services. The agreement includes an explicit exit clause in the event a provider falls outside the EEA. This is clearly a direct response to the controversial acquisition of Solvinity by the American company Kyndryl.
Through the new contract, government organizations can use the cloud services without having to conduct negotiations themselves. This lowers the barrier to choosing this still relatively young cloud platform. The agreement includes strict conditions. Data may only be stored within the European Economic Area, and the government has audit rights to verify that Stackit is adhering to the agreements.
Stackit already counts SAP and (unsurprisingly) Lidl and Kaufland among its clients; these supermarkets are also part of the Schwarz Group. Soccer clubs such as Bayern Munich and VfB Stuttgart are also users of the platform.
Exit clause as a legal shield
Notably, and encouragingly, the agreement includes an exit clause. A contract may be terminated, the Dutch government states, “for example, if the supplier falls into the hands of a party outside the EEA.” This is undoubtedly a direct reference to the controversial acquisition of digital identity administrator Solvinity by the American company Kyndryl. Political opposition to this is strong, but the deal has now effectively been approved. Previously, a similar acquisition led to the Dutch immigration service IND leaving messaging service Zivver after that company fell into American hands.
State Secretary for Digital Economy and Sovereignty Willemijn Aerdts says: “Digital autonomy means that we can make our own choices from a diverse range of providers. That is why it is important that we stimulate the European market.”
Stackit: more than a niche player
Stackit is part of Schwarz Digits, the digital arm of Lidl owner Schwarz Group. The company operates seven data centers in Germany and Austria and has long positioned itself as a sovereign European alternative to American hyperscalers. All data falls under European law, which distinguishes the company from parties that are required under the U.S. Cloud Act to provide data to authorities.
The framework agreement with the Dutch government follows a series of other contracts. This week, De Nederlandsche Bank, the Dutch central bank, signed a major deal with Stackit to reduce its dependence on American cloud companies. But it doesn’t stop there: the European Commission also selected Stackit as one of four providers for cloud contracts with a total value of 180 million euros, spread over six years.