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How Germany is Closing Doors with Open Source

How Germany is Closing Doors with Open Source

Gruppe af fire der snakker og kigger på tablet
Gruppe af fire der snakker og kigger på tablet
Gruppe af fire der snakker og kigger på tablet
Gruppe af fire der snakker og kigger på tablet

By Mogens Sejer Iversen - CEO Colibo A/S


1. Introduction

We’ve seen enough examples showing us that data is the new oil. As a logical consequence, the battle for digital sovereignty is heating up. For years, public administrations have grappled with a sobering reality: their heavy dependence on tech giants like Microsoft has left them powerless against rising costs, arbitrary pricing models, and vendor lock-in. It's a paradoxical position for governments to find themselves in – technologically (more or less) advanced yet fundamentally controlled by external corporations. To break free, some have turned to open-source software, lured by the promise of independence and cost savings. However, as we’ve seen through the contrasting experiences of Denmark and Germany, the road to digital sovereignty is fraught with challenges, hidden costs, and hard lessons. The way forward may not be a binary choice between open-source and proprietary software but rather a nuanced strategy that leverages the best of both worlds. Let’s delve into why diversification, not dogmatism, could be the key to true autonomy.

 

2. The Case for Open-Source Software in Public Administration

2.1 Benefits of Open-Source Software

At first glance, open-source software appears to be a silver bullet for public administrations shackled by proprietary software costs and constraints. The benefits are compelling: lower initial costs due to the absence of licensing fees, the ability to customize and adapt software to specific needs, and most importantly, enhanced control over data. Open-source advocates argue that transparency in code leads to better security – after all, vulnerabilities are more likely to be spotted when everyone has access to the code. This vision of open-source as a beacon of innovation, cost efficiency, and security has caused public sectors in various countries to consider its adoption.

2.2 The Promise of Digital Sovereignty

Digital sovereignty isn't just a buzzword; it's a critical issue in the information age. For governments, the stakes are high: control over their own IT infrastructure means they aren't subject to the whims of foreign corporations or vulnerable to external pressure. Open-source software, which can be freely modified and shared, theoretically offers a path to regaining control over national digital infrastructure. Germany, for instance, views open-source adoption as a strategic move to protect its data and sovereignty, seeking to create a robust, independent IT backbone that isn't tied to the commercial interests of American big tech.

 

3. Denmark’s Experience with Open Source: A Cautionary Tale

3.1 The Decision to Go Open-Source

Denmark once stood at the same fork in the digital road, going for an open-source transition, eager to embrace the freedom and flexibility it promised. Numerous Danish municipalities embarked on an ambitious plan to integrate open-source solutions. The objectives were clear: reduce dependency on big tech, cut costs associated with proprietary software licenses, and enhance security by adopting open, transparent systems.

3.2 Challenges and Realities Faced

But reality soon set in. While open-source software eliminated licensing fees, it introduced a host of hidden costs that weren’t immediately apparent. Maintaining, updating, and supporting open-source solutions demanded significant resources. Moreover, adoption was inconsistent, leading to fragmentation and interoperability issues. Open-source projects often failed to gain traction within the government, resulting in siloed implementations that did little to promote widespread adoption.

Then there was the issue of talent. Competing with the private sector to attract skilled developers proved difficult. Public sector entities found themselves not just using open-source software but essentially becoming software development agencies, tasked with building, maintaining, and securing their own solutions. This was a role they were ill-equipped to handle. The result was a series of costly, high-profile failures that forced Denmark to reconsider its open-source strategy.

3.3 Outcome and Reflection

Denmark’s experience offers a sobering lesson: the transition to open-source is neither simple nor cheap. It requires a substantial investment in talent, infrastructure, and support that many public administrations are unprepared for. The allure of digital sovereignty quickly fades when faced with the practical realities of implementation. While Denmark hasn’t abandoned open-source altogether, its approach has become more cautious and measured, balancing open-source initiatives with proprietary solutions where they are the better fit.

 

4. Germany’s Ambitious Shift Towards Open Source

4.1 The Push for Digital Sovereignty

Germany, on the other hand, has doubled down on its commitment to open-source as a path to digital sovereignty. With growing concerns over data privacy, cybersecurity, and foreign influence, Germany’s leadership sees open-source as a way to regain control over its IT infrastructure. The ambition is clear: reduce dependency on Microsoft and other tech giants, protect national data, and foster a thriving local tech ecosystem.

4.2 Key Initiatives and Strategies

One of the most noteworthy examples of Germany's commitment is the state of Schleswig-Holstein, which has declared its intent to become a European leader in public sector open-source adoption. The state plans to migrate public institutions and authorities to Linux-based systems, replacing proprietary solutions with open-source alternatives. This bold move aims to set a precedent within Germany and beyond.

4.3 Potential Risks and Hidden Costs

Germany's strategy is ambitious, but the potential pitfalls are many. If Denmark's experience is any indication, Germany could face significant challenges. The costs associated with maintaining and supporting open-source solutions could outweigh the savings from eliminating proprietary software licenses. Moreover, the public sector may struggle to compete with private industry for the talent needed to drive these initiatives forward. Germany will need to carefully navigate these challenges if it is to avoid the same pitfalls that Denmark encountered – especially, when taking into account that the country’s sheer size and federal structure are not making such transitions easier.

 

5. A Pragmatic Approach to Software in Public Administration

5.1 The Need for a Balanced Strategy

Rather than swinging between the extremes of full reliance on big tech or going all-in on open-source, a more pragmatic approach is needed. A diversified software portfolio that combines the strengths of both open-source and proprietary solutions can offer the best of both worlds. This strategy allows public administrations to maintain control and flexibility while avoiding the pitfalls of complete dependence or the burdens of sole in-house development.

5.2 Integration and Interoperability

One of the key components of this balanced strategy is integration. Open-source software should be designed to seamlessly integrate with existing proprietary systems like MS Office, allowing public administrations to enjoy the benefits of both. This approach promotes flexibility, enabling organizations to switch out components as needed without overhauling their entire IT infrastructure. The use of open standards and APIs can facilitate this interoperability, making it easier to incorporate new technologies and vendors.

5.3 Leveraging Smaller Vendors

In the quest for digital sovereignty, fostering a competitive software market is essential. Smaller vendors can offer specialized solutions that are both innovative and cost-effective. By diversifying their vendor base, public administrations can reduce the risk of vendor lock-in, prevent monopolistic pricing practices, and cater their software ecosystem to their specific needs. This approach mitigates dependency on big tech without compromising on functionality.

 

6. Schleswig-Holstein: A Case Study to Watch

6.1 Ambitions and Vision

Schleswig-Holstein's strategy to become a frontrunner in public sector open-source adoption is a bold experiment in digital sovereignty. The state’s vision includes not only switching to open-source software but also building a model that others can follow. If successful, Schleswig-Holstein could set a new standard for digital independence in public administration.

6.2 Implementation Strategies

The state is taking a structured approach to implementation, focusing on pilot projects and gradual migration. Schleswig-Holstein is also leveraging partnerships with local tech companies and open-source communities to build a support network. This collaborative approach may help address some of the talent and resource challenges that have plagued other open-source initiatives.

6.3 Early Observations and Expected Outcomes

While it's still early days, Schleswig-Holstein's efforts are being closely watched. Success here could validate the open-source approach and encourage other regions to follow suit. However, the state will need to demonstrate not just technical feasibility but also cost-effectiveness and long-term sustainability. Only time will tell if Schleswig-Holstein can overcome the hurdles that have tripped up others.

 

7. Conclusion

7.1 Summary of Key Insights

The contrasting approaches of Denmark and Germany with open-source software in public administration offer valuable lessons. Denmark’s challenges highlight the hidden costs and complexities of open-source adoption, while Germany’s ambitious plans underscore the desire for digital sovereignty and control. Both experiences highlight a crucial point: a transition to open-source is not a universal remedy but rather a complex undertaking that comes with side effects.

7.2 Recommendations

Instead of choosing between open-source and proprietary software, public administrations should aim for a diversified software portfolio. A mix of hand-selected smaller vendors and integration capabilities with major systems can provide the flexibility, security, and control needed for functioning digital autonomy. This diversified strategy not only reduces dependency but also fosters a more competitive and innovative software market.

7.3 Final Thoughts

In the pursuit of digital sovereignty, diversification is the new autonomy. By embracing a variety of software solutions and fostering a competitive market, public administrations can become future-proof for the digital age without falling into the traps of over-dependence or overwhelming in-house development demands. The way forward for public administration is not choosing sides but building the right balance – one that ensures both freedom and functionality.

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Colibo Logo

Securing Collaboration, Data, and Progress.

© 2025 COLIBO

LinkedIn

Colibo Denmark (HQ)

Graven 25 C, 2nd floor,
8000, Aarhus C,
Denmark
+45 28144015
contact@colibo.com

Colibo Germany

Lise-Meitner-Str. 2,
24941, Flensburg,
Germany
+49 15170329685
mp@colibo.com

Colibo APAC

Level 45, 680 George St.,
2000, Sydney NSW,
Australia
+61 280060712
contact-anz@colibo.com

Colibo New Zealand

Remote office,
1011, Auckland,
New Zealand
+64 98892864
contact-anz@colibo.com

Colibo Hong Kong

Remote office,
999076, Hong Kong,
China
+852 81978786
contact-anz@colibo.com

Designed and developed with care by Visualwise.io

Colibo Logo

Securing Collaboration, Data, and Progress.

© 2025 COLIBO

LinkedIn

Colibo Denmark (HQ)

Graven 25 C, 2nd floor,
8000, Aarhus C,
Denmark
+45 28144015
contact@colibo.com

Colibo Germany

Lise-Meitner-Str. 2,
24941, Flensburg,
Germany
+49 15170329685
mp@colibo.com

Colibo APAC

Level 45, 680 George St.,
2000, Sydney NSW,
Australia
+61 280060712
contact-anz@colibo.com

Colibo New Zealand

Remote office,
1011, Auckland,
New Zealand
+64 98892864
contact-anz@colibo.com

Colibo Hong Kong

Remote office,
999076, Hong Kong,
China
+852 81978786
contact-anz@colibo.com

Designed and developed with care by Visualwise.io

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