Schleswig-Holstein opts for open source, boosting the digital sovereignty of its public authorities

Schleswig-Holstein’s government has decided to move away from Microsoft in favour of open source software, setting an example to the rest of the federal states when it comes to reducing digital dependency. With transatlantic tensions rising and close ties emerging between major tech firms and political spheres, the debate around digital sovereignty is all the more salient. Becoming less dependent makes it possible to claw back control over data, processes and technologies – as well as to maintain the strategic independence of public authorities.

Out with vendor lock-in, in with digital sovereignty
Almost a year on from Donald Trump’s return to the White House, the risks associated with Europe’s digital dependency on US providers have been put into stark relief. With tech giants in the US being backed up by the country’s political decision-makers, European fundamental values are coming under pressure in the conflict over customs duties. When using US-based cloud solutions, companies and public bodies not only face major financial risks, but also significant data protection challenges. Becoming dependent on the major providers means accepting their pricing policy and data protection practices. This in turn means that cloud service users will inevitably face price hikes: Microsoft has repeatedly increased fees for M365 since 2022, with further drastic increases of up to 40% taking effect in April of this year. Due to vendor lock-in, many find themselves forced to pay up. Schleswig-Holstein, however, is bucking this trend – and breaking out of the cost trap.

Open source the way forward for public authorities in Schleswig-Holstein
Whereas other federal states like Bavaria and the national federal administration are leaning more heavily towards cloud services like Microsoft 365, Schleswig-Holstein has opted for open source software, thereby protecting the digital sovereignty of its public authorities. Since the decision was made, an important milestone has been reached: public authorities in Schleswig-Holstein have now migrated from Microsoft’s email systems, Outlook and Exchange, to open source solutions. In the previous year, this federal state already introduced LibreOffice as standard office software; now that the migration has been successfully completed, MS Office is set to disappear from all of its public authorities’ digital workstations.

Admittedly, migrating more than 40,000 inboxes with more than 100 million emails and calendar entries was a major undertaking, and not everything went to plan. For instance, the justice and police departments reported some technical problems and service outages. Yet Minister for Digital Affairs Dirk Schrödter (from the Christian Democratic Union) stressed that migration issues were to be expected: ‘This kind of migration is no small feat. We are true pioneers. We can’t rely on the experience of others – this is practically the only project of this magnitude the world has ever seen.’ Despite the difficulties, Michael Burmeister of the Association of Judges emphasised the importance of reducing dependency on major tech firms, clearly speaking out against a return to Microsoft software.

Other public authorities and companies should take heed: instead of jeopardising sensitive data, overspending and increasing dependency, it is time to rethink IT strategies. The hyperscalers are pushing users towards subscription models, whereby those who sign up can only use the software for as long as they keep paying. This allows providers to increase prices and change license conditions on a whim. IT decision-makers should carefully consider which cloud services they really need, and where on-premise solutions might be a sensible alternative. In the case of perpetual licenses, users pay a one-off fee and then have permanent access to the software. Even Microsoft still offers on-premise versions of its software via Office 2024 LTSC or Windows Server 2025.

Hybrid IT strategies: combining sovereignty and cost effectiveness
It is advisable to pursue a hybrid approach combining cloud services with on-premises software. Critical data and applications remain under the user’s control, with cloud services relied upon whenever flexibility and scalability are desirable. In the case of ‘bring your own license’ models, it is up to companies and public bodies themselves to decide which software is run in which cloud infrastructure. This reduces vendor lock-in, increases independence and can reduce costs in the long term. A particularly cost-effective option is used licenses, which can be purchased from specialist dealers for up to 70% less than the price of a new license. Dealing in used software was confirmed to be lawful by the European Court of Justice back in 2012. As a result, it is now possible not only to obtain licenses at a lower cost, but also to resell licenses that are no longer needed.

The bumpy road to overcoming dependency
It may be a hard path to follow, but ultimately it is the right one: ridding oneself of dependencies built up over decades means there will inevitably be a few bumps in the road. This may not always be easy, but one only need look to Schleswig-Holstein for a real-life example of how true digital sovereignty can be achieved. This is a particularly hot topic among public authorities, where sensitive data belonging to citizens is at stake and scope for action may be jeopardised by the close relations between US tech firms and the US government.

Using a hybrid model combining the benefits of on-premise licenses with a scalable cloud infrastructure, ideally from a European provider, bolsters digital sovereignty and increases reliability. For public authorities in Schleswig-Holstein and beyond, open source software represents a tangible step towards independence: lower costs, more control, clear legal compliance.