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A Negative Assessment of German Digital Policy: Between Increased Dependence and Loss of Credibility

2025-02-05

A few weeks ago, a highly critical report was released, revealing that rather than achieving digital sovereignty, Germany is becoming increasingly reliant on monopolistic tech companies. This critical assessment, compiled by three working groups within the Gesellschaft für Informatik e. V. (GI) – a major professional organization for computer science professionals in Germany – concludes that the outgoing German government failed to meet its stated objectives regarding digital sovereignty and open-source software adoption. The report and the GI's associated press release lay bare the extent to which the government fell short, underscoring the growing risks associated with Germany's dependence on monopolistic organizations and the urgent need for a paradigm shift in digital policy.

The Growing Threat of Digital Colonialism

The central concern is the sharp increase in Germany's dependence on a handful of dominant tech companies, primarily non-European entities. This dependence, the GI warns, is not merely an economic issue; it is a strategic vulnerability. The report highlights the escalating risk of both economic and geopolitical blackmail, raising the specter of Germany transforming into a "digital colony" – a nation whose economic and political autonomy is dictated by external actors controlling critical digital infrastructure.

Empty Promises and Contradictory Actions

The report points to a glaring disconnect between the rhetoric of digital sovereignty and the reality of government action. While ambitious targets were outlined in the coalition agreement and the Digital Strategy 2022, the government's actual policies have often undermined these goals.

A prime example is the imbalance between the government's professed commitment to open-source software and its actual investment. Federal spending on open-source solutions remains woefully inadequate, accounting for a mere 0.5% of the total budget. This paltry investment stands in contrast to the billions of euros poured into contracts with proprietary software vendors, creating a web of dependencies that will burden future generations of German taxpayers.

The GI report cites the signing of a €4.6 billion contract with Oracle – without even a competitive bidding process – as a particularly egregious example of this trend. This decision, the report argues, underscores a systemic failure to prioritize competitive markets, foster homegrown innovation, and build a resilient digital ecosystem. This not only creates risks but is a loss in taxpayer income.

Delos, GovTech Campus, and Gaia-X: Well-Intentioned but Misguided?

The report also critiques several key initiatives, questioning whether they truly contribute to digital sovereignty. The authors assert that projects like Delos (a cloud initiative based on Microsoft technology), the GovTech Campus (which involves Microsoft, Google, and Amazon), and Gaia-X will reinforce existing dependencies and cement the dominance of Big Tech.

The involvement of companies whose business models are built on expanding their empires is fundamentally incompatible with the goal of empowering customers and fostering true digital sovereignty.

Ignoring the Warnings of Experts

Perhaps most concerning is the report's assertion that the government ignored warnings from professional associations about the growing risks of digital dependency and the potential dangers to political sovereignty. The GI, along with other expert groups, repeatedly raised concerns about the increasing reliance on a small number of foreign-controlled companies for critical digital infrastructure. However, these warnings appear to have been largely disregarded, leading to the current situation.

Ignoring the Lessons of Energy Dependence

The report also draws a parallel to Germany's reliance on Russian energy, warning that digital dependence is even more critical. While alternative solutions and suppliers could mitigate energy disruptions, the current state of digital infrastructure leaves Germany vulnerable. Without readily available alternatives and contingency plans, the consequences of a "digital tap" being turned off would be devastating. This creates a significant geopolitical pressure point – the opposite of the promised strengthening of digital sovereignty.

What's Needed for a Digital Policy Reset

To reverse this course, the GI calls for a fundamental shift in German digital policy. This includes:

  • Prioritizing open source: Significantly increasing investment in open-source solutions to reduce dependence on proprietary software and foster innovation.
  • Promoting competition: Enacting policies to level the playing field and prevent the dominance of a few large players, with an emphasis on the adoption of a fair and transparent procurement process.
  • Building resilience: Diversifying the supply chain for digital infrastructure and fostering local expertise to reduce vulnerability to external shocks and political pressure.
  • Ensuring data sovereignty: Implementing robust measures to ensure that German data is stored and processed within the country's jurisdiction, protecting it from extraterritorial laws.
  • Ensuring data sovereignty: Implementing robust measures to ensure that German data is stored and processed within the country's jurisdiction, protecting it from extraterritorial laws.

What This Means for EuroStack

The lessons from Germany's digital policy failures are clear and urgent for the EuroStack Initiative:

  • Intentions are not enough: Concrete action and strategic investment are essential to achieving digital sovereignty. Rhetoric must be translated into tangible policies that promote European innovation and reduce dependence on non-European companies.
  • Diversification is key: The reliance on a small number of vendors, even if they are European, can create vulnerabilities. The EuroStack Initiative must foster a diverse ecosystem of suppliers and technologies to build a more resilient and secure digital infrastructure.
  • Open source is a strategic imperative: Open source is not just a matter of cost savings; it is a fundamental building block of digital sovereignty. The EuroStack Initiative must prioritize open-source solutions in its projects and advocate for policies that promote their adoption.
  • Collaboration is crucial: The challenge of achieving digital sovereignty is too great for any one nation to tackle alone. The EuroStack Initiative must foster collaboration among European governments, businesses, and research institutions to build a shared digital future.

The German report show that the path to digital sovereignty is not paved with good intentions alone. It requires a concerted effort, strategic investments, and a commitment to building a truly independent and competitive European digital ecosystem. The EuroStack Initiative has a crucial role to play in leading this effort, ensuring that Europe controls its own digital destiny. We must learn from the German failures and work with all relevant stakeholders to create a robust digital sovereignty.

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