Dutch Parliament Reaffirms Stance on DigiD Ownership
The Dutch parliament has again instructed the government to prevent the national digital identification system, DigiD, from being acquired by American interests. The move reflects persistent concerns within parliament regarding data security and the potential for foreign influence over critical national digital infrastructure.
- The controversy centers on the proposed acquisition of Solvinity, the Dutch company providing the secure cloud infrastructure for DigiD, by the American IT giant Kyndryl. While the DigiD application and data remain under the control of the government agency Logius, the underlying technical infrastructure would fall under American ownership. - A primary concern for Dutch lawmakers is the U.S. CLOUD Act, which could potentially compel American companies to provide data to U.S. authorities, even if that data is stored in the Netherlands. Experts have also highlighted the risk of U.S. sanctions legislation, which could be used to disrupt services for geopolitical reasons. - The Dutch government’s investment screening office, Bureau Toetsing Investeringen (BTI), is currently conducting a national security assessment of the takeover. This formal review is the primary path through which the government could block the acquisition if significant risks are identified. - It was revealed that a Dutch investor was narrowly outbid in the sale of Solvinity, with a difference of only a few million euros. This has led to frustration among parliamentarians, who feel an opportunity to keep the critical infrastructure in Dutch hands was missed. - In response to the proposed sale, Parliament has passed motions urging the government to prevent the acquisition and, should the deal proceed, not to renew the contract with Solvinity when it expires in 2028. - This situation unfolds as the Dutch government is actively developing its "Vision for Digital Autonomy and Sovereignty." This broader policy aims to reduce dependency on foreign technology for critical functions and ensure sensitive data remains under Dutch or European legal control. - The city of Amsterdam, which had recently signed a €14 million contract with Solvinity specifically to enhance its "digital autonomy," was "unpleasantly surprised" by the acquisition news. - In March 2025, prior to the acquisition announcement, Solvinity had informed the government's digital service, Logius, and the Ministry of Justice and Security that it was for sale, but both declined the opportunity to acquire the company.
