German state Bavaria cancels Microsoft contract to go open source

Archived version

• The largest German state, Bavaria, has canceled a nearly billion-euro contract with Microsoft.
• The state administration will pursue a “sovereign basic workspace” based on open-source components.
• Bavaria’s Digital Minister Fabian Mehring says the decision allows the state to protect itself from price hikes and ensure data privacy.

The Bavarian Ministry for Digital Affairs has officially announced the cancellation of a planned framework agreement with American tech giant Microsoft intended to implement its productivity suite across the state administration.

Regional news website Mittelstand in Bayern reports that Microsoft services would have cost nearly €1 billion ($1.16 billion) over a five-year period.

Instead, Bavaria will pursue a “sovereign basic workspace” based on open-source components.

The decision comes after a months-long power struggle between the state’s Finance Ministry, led by Albert Füracker, who wanted to consolidate existing contracts and secure discounts, and Digital Minister Fabian Mehring, who pushed for open source.

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