Denmark starts unwinding its reliance on Microsoft

Denmark has begun a phased retreat from Microsoft software across parts of its public administration, signalling a broader reassessment of how governments manage dependence on dominant technology suppliers and safeguard digital sovereignty. The shift, confirmed by officials overseeing state IT procurement, starts with the transport and traffic administration but is framed as a test case for wider adoption across ministries and agencies.

At the centre of the move is a plan to replace Microsoft Office with open-source alternatives such as LibreOffice and to reassess cloud services tied to US-based providers. Senior officials involved in the transition describe it as a pragmatic step rather than a wholesale rupture, designed to give public bodies greater control over data, costs and long-term interoperability while reducing exposure to licensing changes dictated by a single vendor.

The transport authority has already begun migrating internal workflows, document management and collaboration tools away from Microsoft’s ecosystem. Staff training and parallel systems are being used to limit disruption, and legacy formats are being retained during the transition to ensure compatibility with external partners. The government has acknowledged that Microsoft products will continue to be used where replacements prove impractical, particularly in specialised systems.

Denmark’s decision reflects a wider debate across Europe about digital autonomy, sharpened by concerns over data protection, geopolitical risk and the escalating cost of enterprise software subscriptions. Public administrations have faced repeated price increases for cloud and productivity suites, alongside tighter contractual terms that critics say lock customers into long-term dependence. Open-source platforms, while not cost-free, are viewed by advocates as offering greater transparency and flexibility.

Officials involved in the Danish review argue that the move is not anti-American or anti-Microsoft but a recalibration of risk. They point to the country’s obligations under European data protection rules and the need to ensure that sensitive public data can be managed under national legal frameworks without ambiguity. The use of software governed by foreign jurisdictions has long been debated, but heightened regulatory scrutiny has brought the issue into sharper focus.

The Danish Agency for Digital Government has previously outlined principles encouraging public bodies to consider open standards and interoperability when procuring IT systems. Those principles are now being operationalised, with ministries asked to evaluate whether existing software contracts align with long-term strategic goals. The traffic department’s transition is intended to generate practical evidence on costs, productivity and security before decisions are taken elsewhere.

Technology analysts note that Microsoft remains deeply embedded in European public sectors, making a clean break unlikely. Email systems, identity management and specialised applications are often tightly integrated with Microsoft infrastructure, and replacing them can require years of planning. Denmark’s approach, which emphasises gradual change rather than abrupt termination, is seen as a realistic attempt to rebalance rather than disengage entirely.

Similar discussions have emerged in other European states and municipalities. Authorities in Germany, France and the Netherlands have at various times experimented with open-source office software or sovereign cloud initiatives, with mixed results. Some projects were scaled back due to usability challenges or compatibility issues, while others delivered savings and reduced reliance on proprietary platforms. Denmark’s effort is being closely watched for lessons on execution rather than ideology.

Microsoft, for its part, has invested heavily in compliance with European regulations and operates data centres within the region. The company has argued that its cloud services meet stringent security and privacy standards and that economies of scale deliver value for public clients. Industry observers say that Denmark’s move may prompt renewed engagement from Microsoft on pricing, contract flexibility and localisation assurances.

Civil servants involved in the pilot stress that user acceptance will be critical. Early feedback has highlighted differences in document formatting and collaboration features when switching away from familiar tools. Training programmes and technical support are being expanded to address these issues, and officials concede that productivity gains will not be immediate. The objective, they say, is resilience and choice rather than short-term efficiency.