EU first? Our view on "local content" and digital sovereignty

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An ever-growing number of customers and partners are asking us whether ‘local content’ is a factor in our strategy. Or more broadly: do German and European companies gain an advantage by using our software "made in Germany"? These questions touch on a topic that has gained massive importance in recent months across all industries: digital sovereignty.

For many, the first association is the protection of sensitive customer information and mission-critical workloads. However, digital sovereignty actually extends to all kind of critical assets including our “home turf”: software architecture, software design and ultimately source code.

There are different aspects to consider when selecting a vendor. At the very top probably are market-fit, product quality and the product’s overall competitiveness. However, ensuring digital sovereignty in software procurement across Europe might be another key criteria as it means choosing solutions that align with regional values, data protection and legal frameworks.

Data Sovereignty & Compliance

Architecture models, design documents and source code are the "crown jewels" of software development. Treating software architecture and source code as critical assets is essential to maintain digital sovereignty and safeguard intellectual property.
Our customers run the tool on-premises with assets remaining inside the company, protected from third-party access and free from transfers into uncertain legal jurisdictions. This helps to reduce complexity when it comes to information security.

Trust Through "Proximity"

A German / European software product is more than just technology. It means cultural closeness, short communication paths and more clarity.
Customers benefit from working with partners in a similar legal environment, in physical / temporal context, who truly embrace European requirements.

Technological Independence

Digital sovereignty is about avoiding dependency. Organizations relying solely or mainly on non-European vendors in there software development cycle risk creating dependencies – both technologically and economically (there are numerous instances of strategic pricing discrimination).
Achieving true technological independence requires enterprise IT leaders to actively avoid vendor lock-in and preserve architectural freedom.

Legal Clarity

With us as a German vendor, the framework is straightforward: German law, German contracts, German jurisdiction. For European customers, this is an advantage, since legal frameworks are shared and largely harmonized across Europe.
Legal clarity means to reduce uncertainty with regard to legal understanding, enforceability and ultimately legal costs.

Support & Product Evolution

A local vendor means a direct connection to the product. Support with quick response times and a roadmap shaped by European customers – not a global average.
That builds trust in the solution’s long-term viability and safeguards investments.

Conclusion

We are always happy to work with customers and partners around the world — no question. At the same time, we are proud to develop our software entirely in Germany and appreciate the European framework of values and law. By 2025, European organizations will increasingly view data sovereignty and cloud compliance as core elements of their digital transformation strategies. Buying software "made in Germany / Europe" is not a matter of patriotism, but of strategy.

Frequently Asked Questions about this Blog

What does “digital sovereignty” mean in software procurement? Digital sovereignty refers to an organization’s ability to maintain control over critical assets (such as software architecture, design documents and source code) and avoid dependencies on external vendors, jurisdictions or legal frameworks.

Why does the origin of a software product matter?

Because it can provide technical, legal and cultural advantages:

Assets can remain inside known legal jurisdictions, reducing complexity in security and compliance.

Shorter communication paths and faster support
It reduces vendor lock-in and long-term dependency risks.

How does choosing a local vendor support technological independence? Using a European vendor often means contracts governed by shared legal frameworks, familiar jurisdiction and transparent enforceability - leading to fewer surprises and lower risk. In addition, avoiding over-reliance on non-European vendors helps ensure autonomy, strategic flexibility and price fairness over time.

Stefanie Musiol-Schmatz

Stefanie works at knowis as an expert in organization and compliance. Her focus is on topics related to knowis' information security as well as managing corporate risks within internal GRC.

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