Dutch Block US Takeover of Cloud Services Provider Solvinity

The Dutch government blocked a proposed takeover of Solvinity Group BV, a provider of cloud services in the Netherlands, by US-based Kyndryl, citing security concerns.

“The proposed acquisition of Solvinity may pose a risk to the public interest,” Digital Economy Minister Willemijn Aerdts said in a letter to parliament Tuesday. She announced a “complete prohibition of this acquisition,” which was about to be completed.

Multiple members of parliament have openly opposed the acquisition by the American IT company, over fears that the US government could get access to private citizen data.

The decision is the latest development over the ...