Netherlands blocks US takeover of vital digital supplier

(politico.eu)

143 points | by vrganj 2 hours ago

13 comments

  • mcv 1 hour ago
    Finally!

    The entire country has been clamouring for this for weeks, and the government has been completely silent about it. A couple of weeks ago, the entire parliament (with only a single party dissenting) voted for a motion to end the contract with Solvinity, but the government extended it anyway, leaving blocking the takeover as the only option, and there wasn't a lot of confidence that the government would do that.

    The whole reason for this is that Solvinity host DigiD, the Dutch e-ID system that handles authentication to all government and many other sensitive systems (healthcare). With the US law that the US government should be able to get access to any data held by a US company, regardless of where it's hosted, this system clearly should be kept out of American hands.

    Of course there's still plenty of sensitive data in the hands of Microsoft, Amazon and other US companies. No idea when they're going to do something about that.

    • jorvi 27 minutes ago
      It is a bit more complex tham that.

      Logius is the company that actually owns and manages the DigiD stack, it's just that they hired Solvinity for their expertise. AFAIK Solvinity can't access the data.

      I can't find it right now, but on Tweakers there was a long comment by someone on the inside that explained Logius basically had almost no know-how of how the current stack works, and there's lots of bespoke stuff. Basically classic vendor lock-in. The government (rather, Logius) now really wants to transition away from Solvinity, but that will likely be a 5+ year process.

      I also feel like this is another thing that the "fast ring" of the EU should do together. Take Estonia's stack as a base, and then countries like Sweden, Denmark, Finland, The Netherlands adopt it and co- develop it. Make it extensible for the bespoke things the countries need, and every few years check which bespoke extensions can actually be generalized and modularized. Would lead to a much better product. A man can dream :)

      • NoahZuniga 5 minutes ago
        Logius is actually not a company but a part of the dutch (national) goverment.
    • tcp_handshaker 22 minutes ago
      >> Finally!

      You are behind the curve. You read here first. Lets revisit this comment in 2 years...

      This will be overturned by both Dutch and European courts after the company appeals, and specially after Mark Rutte Daddy calls. The only purpose of this action is for the Dutch government to save face, and its for internal consumption. They already have the internal legal advice stating this, hidden away in some closet. But then they will say: You see, we wanted to do it but a court blocked us.

      >>Of course there's still plenty of sensitive data in the hands of Microsoft, Amazon and other US companies.

      The WHOLE Dutch diplomatic and broader civil service, including the Ministry of Foreign Affairs, runs extensively on Microsoft infrastructure for its daily operations, cloud services, and email. And they leak....

      "Microsoft Accused Of Sharing Dutch Officials’ Data with U.S. Government" - https://www.yahoo.com/news/politics/articles/microsoft-accus...

      This will also be the core legal argument by the appealing company. They will argue that the decision was politicized, insufficiently reasoned, or disproportionate because binding technical/legal safeguards would have solved the risks... And they will use as example, the diplomatic service extensive use of Microsoft :-)

      So is nothing more than another Polder hypocritical take, by the Dutch government.

      • j_maffe 11 minutes ago
        > Mark Rutte Daddy calls

        Mark Rutte, the chief of NATO and ex-PM, that has nothing to do with civilian tech? Can we please leave unfounded conspiracy theories to Reddit?

        • hvb2 3 minutes ago
          Does that sound outlandish to you? It doesn't to me...

          It's probably something he would use as 'change' to resolve something unrelated with NATO. Then he can sell how well he's keeping NATO together

        • tcp_handshaker 6 minutes ago
        • mschuster91 3 minutes ago
          > unfounded conspiracy theories

          Their sentiment is that Trump intervenes by whining to Mark Rutte, who seems to be the only European Trump is actually willing to listen to, at the expense of course of giving up all his dignity in calling Trump, literally, Daddy [1].

          And I would not put it past Trump to do that... I mean, that's what he already did regarding Tiktok.

          With Trump nothing is impossible any more, especially if he or someone in his circle stands to make or lose money. And that's the greatest danger in the US turning into a full blown banana republic.

          [1] https://www.politico.com/news/2025/06/25/nato-chief-calls-tr...

    • hvb2 1 hour ago
      > A couple of weeks ago, the entire parliament (with only a single party dissenting) voted for a motion to end the contract with Solvinity, but the government extended it anyway, leaving blocking the takeover as the only option,

      Given what we know now, this seems perfectly logical. It's just that we don't know what else is going on behind the scenes.

      I'm sure there was some negotiations on how to keep the data separate or something, with the threat of blocking it altogether as a final solution.

      But agreed, this is a good outcome

      • monegator 59 minutes ago
        > I'm sure there was some negotiations

        which i'm sure the current administration would honour

        There should be grave consequences alone for the fact that the goverment acted against the parliament

        • hvb2 33 minutes ago
          > which i'm sure the current administration would honour

          It would've been the same administration as the one doing the negotiations, so I would assume yes.

          > There should be grave consequences alone for the fact that the goverment acted against the parliament

          In general I think there's a pretty good understanding between the legislative branch and the executive branch. The Netherlands has always had coalitions. Also, every single government will talk to the other parties.

          I'm not sure what country you're referring to but the Netherlands has a properly functioning democracy. The only problem it has is splintering into too many small factions making coalitions super hard

  • kleiba2 17 minutes ago
    If it's such a vital piece of Dutch infrastructure, why is it in private hands at all?
    • danslo 7 minutes ago
      DigiD itself is government-owned, but it's managed by Solvinity (a private company). Not really different from the US gov running half its stack on AWS.
      • kleiba2 3 minutes ago
        Okay, maybe let's not take the US as a point of comparison.
  • petcat 1 hour ago
    Good for them, but I doubt this will be the last we hear about this especially with the current US government. ASML was only permitted to acquire US company Cymer (the actually valuable EUV light source technology) back in 2013 under a strict technology sharing and export control agreement.

    The Netherlands blocking a US acquisition due to technology control concerns is sure to ruffle some feathers in Washington.

    • NietTim 58 minutes ago
      This is not some sort of company making unique tech, it's a company handling some of the most the vital infrastructure for our government, you can imagine the privacy concerns. Completely different case
      • petcat 57 minutes ago
        Sure, but the point is that it's tit-for-tat. This US administration is petty.
    • wongarsu 54 minutes ago
      In 2013, the same deal would likely have gone through. US-Dutch relations looked very different in 2013 under Obama than they look now under second-term Trump. Any reciprocity today based on things Obama did back then falls flat because we all know Trump opposes nearly everything Obama ever did
      • gpvos 37 minutes ago
        Absolutely, no one would have batted an eyelid.
  • fusslo 1 hour ago
    Never heard of 'Kyndryl' before.

    https://en.wikipedia.org/wiki/Kyndryl

    > Officially formed in late 2021, Kyndryl was created from the spin-off of IBM's infrastructure services

    > Kyndryl operated in 63 countries in November 2021

  • midasz 36 minutes ago
    Great news. Would have been devastating to have such an integral part of our society at the whims of not just another nation, but an unstable and downright hostile one.
  • thisislife2 25 minutes ago
    The Dutch should be aware that if Netherland has some information-sharing agreements with Five Eyes or Fourteen Eyes, all this data will still be available to the US (and other allies) (hopefully, presumably, with your government acting as the gatekeeper).
  • applfanboysbgon 1 hour ago
    Good on the Dutch government for actually doing something.
    • spwa4 57 minutes ago
      All governments are "doing something". It just isn't at all effective and mostly because they're unwilling to invest even marginal amounts.

      Like in this case. The technology here utterly depends on Google Play Services on Android or App Attest on Apple (or "secure enclave"), and that is in fact essentially the only functionality.

      This could have been solved instead switching to a standard (switching to OATH, RFC 4226 and RFC 6238), thus killing the dependency on Google/Apple while still allowing those devices to work smoothly, but also allowing a Linux implementation, allowing anyone . Plenty of European companies provide implementations for this, some with and some without the dependency on Google/Apple attestation.

      • applfanboysbgon 29 minutes ago
        I'm not talking about some abstract sense of "did the government do anything at all today", I am saying "good on the government for doing something in this specific case instead of doing nothing and letting it be sold", which was a possible outcome, and in fact the default outcome of the vast, vast majority of acquisitions is that the government does nothing to intervene.

        Could they do something better, sure. I am still glad to see they did something at all.

      • microtonal 5 minutes ago
        Uhm, no, DidiD works without Play Services:

        https://www.logius.nl/actueel/qr-code-scanner-digid-app-werk...

        (Also works fine on my GrapheneOS phone with only basic integrity, also worked on microG when I tested.)

      • Vinnl 42 minutes ago
        I can sign in to DigID without using my phone, except sometimes with an SMS verification code. (Of course they want to, and should, phase that out. Hopefully that won't be replaced by app store dependence.)
  • _HMCB_ 6 minutes ago
    One word: good.
  • mkj 1 hour ago
    Solvinity is a pretty terrible company name.
    • cactusplant7374 59 minutes ago
      Solvinity = Solvent Divinity
    • mortarion 35 minutes ago
      We're terrible at company and brand naming here in Europe. Just look at the "Wero" payment solution (formerly/currently iDeal). Like, who the hell came up with that stupid name?

      The list of stupid European company names and product names are endless.

    • TacticalCoder 47 minutes ago
      > Solvinity is a pretty terrible company name.

      I find it okay'ish. At least it's unique. Say, as much as I like Mario Zechner (who doesn't like HNers anymore for whatever reason), naming your product "Pi" is just terribly bad.

      Facebook was a good name (hate the company but the name was good). But "Meta" is just dumbfucktarded.

      Wait... I've got an idea: I'm going to make a product and name it "Alt". Or "Control".

      Really: there are a lot of totally unhelpful name that just confuses everybody, including search engines, humans, and LLMs but I don't think "Solvinity" is that bad.

      • agmater 36 minutes ago
        I've always found Whatsapp a terrible name, but its so established now that 'apping' is understood. If you're big enough it seems that a bad name hardly hold you back.
        • amelius 27 minutes ago
          Reminds me of the old joke:

          After Bill and Melinda Gates have their honeymoon, Melinda says, "Now I know why you call it Microsoft."

  • selectively 22 minutes ago
    A ground invasion would be an appropriate response.
    • creaturemachine 5 minutes ago
      By that we mean, send a whitehouse crony over to throw a temper tantrum on Dutch soil.
  • vrganj 2 hours ago
  • SirFatty 36 minutes ago
    "US Takeover"
  • sjamaan 1 hour ago
    Best news of the year!