European central bank inks major cloud deal with a provider that isn’t Google, Microsoft, or Amazon

(SeaPRwire) –   By nature, central banks are inherently cautious institutions. Safeguarding a nation’s currency and maintaining financial stability are serious responsibilities that do not lend themselves to risk-taking or uncertain partnerships. In a world dominated by casual attire like Tiger Onitsuka sneakers and tech-bro fashion, central bankers maintain a more formal image, dressed in suits and ties.

Therefore, it may seem initially surprising when one of Europe’s major central banks announces its decision to shift its essential cloud computing services away from the established U.S.-based giants—Google, Amazon, and Microsoft—to a company better known for offering budget-friendly groceries.

Two weeks ago, the Dutch central bank, De Nederlandsche Bank, revealed that its cloud infrastructure would now be supported by Schwartz Digits, an entity part of the Lidl low-cost supermarket chain (latest offer: a five-pack of oranges for $1.34). Originally developed to support Lidl’s retail operations and deliver value-priced products such as butter and eggs to customers, Schwartz Digits has evolved into a reputable provider of secure data services for both European businesses and government agencies. The Dutch central bank is just the most recent high-profile client to adopt this solution.

A noticeable trend is emerging across Europe—one that should give pause to American corporations, particularly the White House. Despite widespread praise for their performance, the dominant U.S. technology companies are increasingly being bypassed in favor of homegrown European alternatives. The Dutch government has also recently finalized its first agreements with StackIT, a subsidiary of Schwartz Digits. Other notable clients of StackIT include Commerzbank and the Hamburg Port Authority, while SAP has announced plans to further strengthen its digital infrastructure within Europe.

This shift is not driven by concerns over technical capability or scale—after all, Google Cloud, Amazon Web Services, and Microsoft Azure possess ample resources in these areas. Instead, growing geopolitical risks are prompting governments and institutions to reevaluate their digital strategies as the United States and Europe diverge on matters of digital security. While restrictions on Chinese providers have long been a priority, similar concerns regarding U.S. entities are now equally pressing as Europe seeks to enhance its “digital sovereignty” when it comes to protecting sensitive data and ensuring system resilience.

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David van Weel, the country’s justice and security minister, described the partnership as “an important step in reducing our dependence on parties outside Europe and strengthening our digital resilience,” according to Dutch News. Additional clients of StackIT include Commerzbank and the Hamburg Port Authority. Meanwhile, SAP has also committed to expanding its European-based digital infrastructure.

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This move is rooted not in doubts about technical excellence but in genuine geopolitical apprehensions. The U.S. Cloud Act, enacted in 2018, allows American technology firms to be legally compelled to disclose data to U.S. authorities. This raises significant concerns among European nations about the potential exposure of their data—even if stored on servers located within Europe—to foreign demands from the United States. Such risks are deemed too great to accept across critical sectors including healthcare, public administration, and finance. For example, the British National Health Service faced controversy after entering into a data-sharing agreement with the American firm Palantir.

Critics argue that the dangers posed by the U.S. Cloud Act are very real. Last year, former President Donald Trump issued an executive order accusing the International Criminal Court (ICC), headquartered in The Hague, Netherlands, of conducting “illegitimate and baseless actions” against the United States and Israel concerning Gaza, and sanctioning its chief prosecutor, Karim Khan. Brad Smith, president of Microsoft, denied reports suggesting that the ICC’s access to its services had been compromised after Khan’s email account was reportedly suspended. Left-leaning members of the European Parliament warned that asset freezes and targeted sanctions against ICC staff create a chilling effect on companies and civil society organizations that might otherwise collaborate with the court.

Several months later, the ICC announced its decision to relocate its data operations to openDesk, a division of the ZenDis Center for Digital Sovereignty, which receives backing from the German federal government. On its website, the organization states: “openDesk embodies our mission to lay the foundation for autonomous, effective digital administration in Germany and Europe by promoting digital independence while enabling modern workflows.”

While the President frequently speaks of “America First,” the reality in Europe is increasingly shifting toward “America second”—or even “America not at all.”