US business services provider Kyndryl attempted to acquire Dutch cloud company Solvinity. But The Hague officially blocked the acquisition, citing potential security risks to the country’s public interest. Deputy Minister of Digital Economy Willemijn Aerdts recently confirmed the acquisition ban.
Our decision shows a disruptive initiative designed to further promote European dominance in the digital market.
When it comes to technology, the US and Europe are rapidly moving apart. EU authorities are working to build their own digital sovereignty, while member states are reportedly actively pushing out foreign buyers for local service providers.
Kyndryl he said first announced the acquisition in November 2025, saying Solvinity would expand its portfolio of critical business and cloud services. Solvinity operates secure managed cloud platforms and supports key Dutch digital systems, including DigiD, the authentication platform used by Dutch citizens.
DigiD allows users to confirm their identity when interacting with public bodies and essential services, from booking medical appointments to completing housing-related transactions. Following an audit by the Investment Control Office (BTI), Dutch officials concluded that allowing the acquisition to proceed could weaken the country’s control over a significant part of the domestic cloud ecosystem.
BTI has taken control of acquisitions and other important activities within the Dutch digital infrastructure. As the acquisition was to be completed soon, the office blocked the acquisition on May 25Dutch officials stressed that the screening process is country-neutral and based on risk assessments, meaning there are no ill intentions specifically against American companies.
The Hague stressed that foreign technology companies remain welcome in the Netherlands. At the same time, the government said it must maintain an independent framework for reviewing investments that could affect national security or the broader public interest.
Although the press releases will range from very select to rare, I said I'd pass...because sometimes the editors hide.
