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Ionos and NextCloud Workspace: German alternative to Microsoft 365 in response to digital sovereignty

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Published on: June 7, 2025 / update from: June 7, 2025 - Author: Konrad Wolfenstein

Ionos and NextCloud Workspace: German alternative to Microsoft 365 in response to digital sovereignty

Ionos and NextCloud WorkSpace: German Alternative to Microsoft 365 in response to digital sovereignty - Image: Xpert.digital

Ionos and NextCloud create European Microsoft 365 alternative with German data sovereignty

German hosting giant Ionos cooperates with Nextcloud for sovereign open source office software

The strategic partnership between the German hosting provider Ionos and the open source collaboration platform Nextcloud marks a significant step towards European digital sovereignty. With the announcement of the “NextCloud WorkSpace” on the Nextcloud Summit in Munich, both companies presented a completely European alternative to Microsoft 365, which is to be available in 2025. The project is based on open source technology and promises complete data sovereignty for European companies and authorities with simultaneous GDPR conformity and exclusive operation in German data centers.

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Strategic background and digital sovereignty

The development of Nextcloud Workspace is in the context of growing concerns about the digital dependence of Europe on non -European technology providers. A current Bitkom study shows the dramatic dimension of this dependency: 96% of German companies import digital technologies and services, while only 25% export digital services themselves. This asymmetry illustrates the urgency of sovereign alternatives, especially in key areas such as cloud services and collaboration platforms.

Geopolitical uncertainties and economic risks have further reinforced the importance of European digital sovereignty. Pandemic, supply chain problems and international conflicts have shown that excessive dependencies on non -European providers can be economically harmful. In this environment, the Ionos-Nextcloud partnership positions itself as a strategic answer to the growing need for digitally sovereign solutions. Ionos CEO Achim Weiß formulates the mission concisely: "The digital future of Europe has to be open, safe and confident. Together with Nextcloud, we are building this: a piece of European independence that is ready for use when it is important".

The legal uncertainty when using Microsoft 365 in Germany also increases the demand for alternatives. While the state of Schleswig-Holstein is actively trying to switch away from US providers, the Federal Employment Agency only introduced Microsoft Teams at the end of 2024. These contradictory approaches within the German administration illustrate the complexity of the legal assessment and the need for clearly GDPR-compliant solutions.

The NextCloud Workspace Project: Comprehensive Office alternative

NextCloud WorkSpace represents a complete collaboration platform that integrates all essential functions of modern office software. The solution includes email functionality, office applications, video conferences, chat systems and AI assistance in a uniform platform. This integration is based on the established NextCloud infrastructure, which is already used by over 400,000 installations worldwide and scaled from a Raspberry PI with two users to millions of users in hosting providers.

Office functionality is technically based on Collabora Online, an already established office suite, which, however, is expanded with enterprise functions for company use. NextCloud Office enables the processing of documents, spreadsheets, presentations and drawings and supports all important document formats such as Docx, PPTX and XLSX as well as a variety of open formats. The collaborative processing in real time, true to the original WysiwyG rendering and the deep integration into the NextCloud ecosystem differentiates the solution to conventional office suites.

The NextCloud Mail email system supports both IMAP and SMTP protocols and enables the integration of various email services. Functions such as tagging, intelligent sorting and seamless integration with other nextcloud apps such as calendars and contacts create an efficient digital workplace. The communication component NextCloud Talk offers end-to-end encrypted video and audio chats, screensharing, collaborative whiteboards and extensive conference functions.

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Technological innovation and AI integration

A particularly innovative aspect of NextCloud WorkSpace is the integration of advanced AI functionality by the NextCloud Assistant. Version 3.0 of the assistant has been massively revised and now offers so-called “agency functions” that can automate entire work processes. The assistant can obtain information from various sources inside and outside the NextCloud, process them and perform complex tasks such as formulating emails or creating calendar loads.

The AI ​​functionality is characterized by its solution-independent and adaptable approach. Users have the choice between different voice models and services, whereby the assistant can also be hosted in their own authority. This self-hosting option ensures complete control over the AI ​​processes and addresses the most common concerns of AI use: data protection, data security and dependence on external providers.

The assistant supports in the creation of headings, paraphrase of texts, translations and will soon be integrated into NextCloud Talk to help with brainstorming, planning and formulation of ideas. This comprehensive AI integration based on self-hosted data protection-compliant technology represents an important competitive advantage over cloud-based AI services in which data protection and compliance concerns exist.

 

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Market positioning and competitive advantages

The positioning of NextCloud Workspace as a “sovereign” alternative to Microsoft 365 is based on several strategic competitive advantages. Ionos CTO Dr. Markus Noga emphasizes the current market situation: "We are currently seeing great demand for sovereign and safe job solutions in companies". This demand is driven by regulatory requirements, data protection concerns and the desire for digital independence.

NextCloud CEO Frank Karlitschek positions the project as a breakthrough in a market that has previously been dominated by US solutions: “So far it has always been said that there are no real alternatives to US solutions for large companies. Our cooperation with Ionos proves the opposite: Together we offer a completely GDPR, cloud-based collaboration suite, in which users are full Keep data sovereignty ”.

The open source basis of the solution offers additional transparency and control that is not given in proprietary solutions. Users can view the source code, adapt and, if necessary, host what is not possible with Microsoft 365 or Google WorkSpace. This flexibility enables organizations to adapt the software to their specific requirements and avoid lock-in effects.

The price competition is also taken into account: Ionos emphasizes that prices will be competitive to Microsoft, with superior data protection and sovereign features. This is particularly relevant, since Microsoft 365 alternatives have often failed due to a lack of functionality or excessive prices.

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Target groups and application scenarios

NextCloud WorkSpace is primarily aimed at large companies and organizations with the highest data protection requirements, whereby regulated industries and authorities are particularly important. These target groups are often obliged by legal provisions to store their data on servers in national or European jurisdiction. For these organizations, NextCloud Workspace offers a legally secure alternative to US-based solutions.

The solution is particularly suitable for scenarios in which data protection, compliance and digital sovereignty are critical success factors. Examples include healthcare, financial services, legal advice, engineering and public administration. These industries are often confronted with strict regulatory requirements that cause the use of cloud solutions with unclear data protection regulations.

The scalability of the solution enables use in both large corporations and in medium -sized companies. Ionos emphasizes that there will be no minimum size among users, which makes the solution accessible to smaller organizations. This flexibility distinguishes NextCloud Workspace from many enterprise solutions that require high minimum user numbers.

Timetable, availability and market launch

The market launch of NextCloud Workspace is planned for 2025, whereby no specific date has yet been determined. Interested organizations can already register free of charge and without obligation to obtain exclusive information on the product start. This preliminary registration indicates a well thought-out go-to-market strategy that enables early customer acquisition and market validation.

The development takes place transparently with a freely visible code base, which corresponds to the open source philosophy of both partners. This transparency enables interested organizations to follow the development and give feedback early. At the same time, potential users can evaluate the safety and quality of the software before the official market launch.

Ionos plans different package sizes in terms of licenses to meet different organizational sizes and requirements. This flexibility in licensing is intended to ensure that both large corporations and smaller companies can benefit from the solution. The pricing is deliberately competitive to Microsoft 365 to enable market penetration.

Open Source VS Tech giant: NextCloud challenges Microsoft's decades of dominance in the company market

Despite the promising positioning, NextCloud Workspace faces significant market challenges. Microsoft Office has dominated the company market for decades, and previous attempts to establish competing solutions have largely failed. The power of habits, existing training and integrated workflows creates high change barriers for potential customers.

The EU Commission itself is convinced that Microsoft 365 meets the legal requirements and sees no real alternatives to Microsoft. This position of the European regulatory authorities could hinder the market acceptance of alternatives and increase legal uncertainties. At the same time, the EU data protection authority is working on preventing the data outflow to the USA, which sends contradictory signals.

The technical challenge is to achieve user -friendliness and seamless integration that are used to users from Microsoft 365. While NextCloud Office has already been established and is based on Collabora, the integration of all components must be a coherent workplace. The AI ​​integration must also be able to compete with the advanced functions of Microsoft Copilot.

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Digital sovereignty becomes a reality: Europe's answer to American office dominance

The partnership between Ionos and Nextcloud for the development of Nextcloud Workspace is an ambitious attempt to create a real European alternative to Microsoft 365. The project addresses real market needs for digital sovereignty, data protection and regulatory compliance, which are reinforced by increasing digitization and geopolitical tensions.

The technical foundations are promising: Nextcloud as an established collaboration platform, Collabora as a proven Office suite, innovative AI integration and the expertise of Ionos as a leading European hosting provider create a solid basis for a competitive solution. The full open source basis and operation in German data centers offer clear competitive advantages over US alternatives.

The success of Nextcloud Workspace will ultimately depend on whether it is possible to meet the high expectations of user -friendliness, functionality and seamless integration, while at the same time the advantages of digital sovereignty provide convincing arguments for a system change. The market launch planned for 2025 will show whether European companies and authorities are willing to change their established work habits in favor of sovereign alternatives.

 

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