Dutch tax office ditches Microsoft 365 cloud for on-premises alternative
Email and calendars move in-house in 2027, with European open source tools to follow
The Netherlands Tax and Customs Administration has abandoned plans to migrate its operations to Microsoft 365 cloud services, opting instead for on-premises solutions and European open source alternatives. The decision, announced in a letter to parliament by State Secretary for Finance Eelco Eerenberg, follows a recent pause in the rollout of Microsoft 365.
Initially selected in 2025, the cloud-based system attracted criticism over concerns regarding information security, encryption, and future-proofing. Microsoft's cloud services were deemed deficient in these areas, with specific issues noted around data security, encryption standards, and vendor lock-in. The administration acknowledges that increased data center capacity has made the on-premises transition feasible, though challenges remain in replicating certain Microsoft 365 functionalities on local servers.
European governments, facing scrutiny over data privacy and potential US government access under the CLOUD Act, are increasingly favoring more sovereign solutions. Nextcloud's CEO, Frank Karlitschek, praised the Dutch tax authority's move, highlighting the growing trend among European organizations to regain control over their digital infrastructure.
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