Netherlands Blocks $115 Million Kyndryl-Solvinity Deal Over Data Security Fears
Updated
Updated · The New York Times · Jun 9
Netherlands Blocks $115 Million Kyndryl-Solvinity Deal Over Data Security Fears
1 articles · Updated · The New York Times · Jun 9
Summary
May 26 marked the first known time the Dutch government stopped a U.S. tech acquisition, barring Kyndryl’s $115 million purchase of Solvinity.
Dutch regulators said U.S. authorities could force Kyndryl to hand over sensitive data handled by Solvinity for government services, making the takeover a threat to the public interest.
Solvinity’s systems help underpin the Netherlands’ national ID infrastructure, sharpening concerns about digital dependence amid what officials called geopolitical unpredictability.
The case drew hearings, an investigation and behind-the-scenes U.S. diplomatic pressure, turning an obscure deal into a test of Europe’s growing mistrust of Washington on technology security.