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Digital Sovereignty—Moving Away from Office 365

Moving Away from Microsoft 365 — Easier Than You Think

 Digital sovereignty sounds like a massive undertaking. But it isn’t—if you approach it the right way. This article addresses the biggest concerns and shows why migration is the most economically and legally sound decision for municipal enterprises. 

No “Big Bang” Break-even in ~12–24 months Proven tools Clear 6-phaseplan

Step-by-step, operational Investment pays for itself Production-ready with Measurable milestones,
continues to run quickly Regulatory licenses no chaos

 

Why this issue needs to be addressed now

Municipal companies have often been using Microsoft 365 for years—and it works. That’s exactly the problem: Because it works, they keep putting off addressing the strategic issue. Meanwhile, the regulatory environment is becoming more stringent year after year.

The U.S. CLOUD Act requires Microsoft to grant U.S. authorities access to data upon request—regardless of where the servers are located. The ECJ’s Schrems II ruling has made it clear that data transfers to the U.S. can be illegal without adequate safeguards. At the same time, Microsoft has raised M365 prices in the DACH region by up to 25% over the past three years—without providing corresponding added value.

On top of that, Windows 10 will lose mainstream support in October 2025. Anyone who hasn’t switched by then will have to pay for Extended Security Updates—or expose their infrastructure to security risks.

The crucial question is not whether you can switch—but how orderly and self-directed the transition will be, or whether it will be forced and come at a higher cost. A complete migration takes 6–12 months. Those who start now have a choice. Those who wait will lose it. 

 

The Biggest Concerns—and Why They Can Be Addressed

In conversations with IT leaders and executives, the same concerns keep coming up. All are valid. All are manageable—if they’re actively addressed from the start. 

 Important: Digital sovereignty does not mean isolation. Open standards (IMAP, CalDAV, ODF) ensure full interoperability with external partners and government agencies—without creating new dependencies. 

 

The Tools: Mature, Proven, and Suitable for Government Use

A common misconception: Open source does not mean beta software. The following tools are used in production by federal agencies, state governments, and hundreds of municipal enterprises. They are fully-fledged alternatives—no compromises. 

Desktop Office
Collabora Office

replaces Word · Excel · PowerPoint
Complete, centrally manageable office suite.
Reads and writes all MS formats natively. Extensive
references from government agencies in Germany.

Groupware & File Storage
Nextcloud Hub


replaces Exchange · OneDrive · SharePoint
Email, calendar, files, and video conferencing.
Self-hosted, GDPR-compliant.

Chat, Messaging, & Video Conferencing
Nextcloud Talk


replaces Microsoft Teams
Based on BundesMessenger. Files, collaboration.
Self-hosted, GDPR-compliant.


Identity & SSO
Keycloak


replaces Azure AD / Entra ID
Central SSO broker with OIDC/SAML. Fully replaces Azure AD.
Full integration with all Linux services and many line-of-business systems. 


Optional: Groupware & File Storage
Ubuntu Linux


replaces Windows 11

5 years of support, free upgrades, the largest enterprise Linux ecosystem. 

 

Important Note: These tools are not compromises. They are complete, production-ready systems with active communities, commercial support providers, and references in sensitive government environments. 

 

What It Costs and What It Saves

One-time migration costs are a reality. But for a company with 500 employees, for example, they pay for themselves after just 12 months. After that, annual savings are generated. You can find our ROI calculator here.

Sample calculation for a municipal company with 500 employees

Cost Item

Microsoft 365 (5 years)

Open Source (5 years)

Difference

License & Subscription Costs

-

-

-

M365 E3 licenses
(currently 34.90 EUR/user/month)

1,047,000 EUR

0 EUR

+ 1,047,000 EUR

Infrastructure & Hosting

-

-

-

Azure / Cloud Hosting

 

150,000 EUR

- 30,000 EUR

Migration & Implementation (one-time)

-

-

-

Consulting, Technology & Training

0 EUR

260,000 EUR

- 260,000 EUR

Ongoing Operation & Support (5 years)

-

-

-

IT Administration

100,000 EUR

175,000 EUR

- 75,000 EUR

Nextcloud Pro Support

367,500 EUR

-367,500 EUR

TOTAL COSTS (5 YEARS)

1,159,000 EUR

952,500 EUR

+ 314,500 EUR

 

314,500 € ~12 months 25%         

Net savings Break-even point Cost reduction compared to MS365    

 

In addition to the direct savings, there is no longer any risk of GDPR fines (up to 4% of annual revenue) or forced price increases. Cost planning becomes consistently predictable and transparent.

 

The Roadmap: 6 Steps, 12 Months, No Chaos

 

1

Months 1–2

Pilot with a real user group

15–30 employees test the target environment in parallel operation. Compatibility testing, training, formal go/no-go decision.

2

Months 3–4

Analysis & Target Vision

Complete IT inventory, GDPR analysis, target architecture, TCO calculation, and project approval by management.

3

Months 5–7

Production Infrastructure

Servers, IAM/SSO, desktop image, security concept, and BSI Basic Protection mapping—while the pilot is running.

4

Months 8–11

Phased Rollout

Department by department, with upfront training and dedicated support (120 days). Data migration from Exchange & SharePoint.

5

Month 12

Microsoft Decoupling

Terminate the license agreement, deactivate Azure AD, perform full data archiving, and provide a zero-dependency report.

6

Starting in Month 13

Seamless Continuous Operation

Annual audits, structured update cycle, internal skills development (LPIC), no vendor. Full control.

The bottom line for IT leadership and management: This project is feasible. It’s budgetable. And it delivers measurable returns—financially, legally, and strategically. What it takes isn’t the courage to take risks, but the will to make a decision.

Learn more now or request an initial consultation right away!