The Netherlands has accused Microsoft of leaking the names of Dutch civil servants to the U.S. government, reigniting the EU's long-running battle over data sovereignty and American tech companies' compliance with European privacy rules.

Microsoft shared emails, meeting minutes, and invitations containing the unredacted names of officials from two regulatory agencies—the Authority for Consumers and Markets (ACM) and the Dutch Data Protection Authority (AP)—with the U.S. House of Representatives. The civil servants, according to NL Times, were working on implementing the Digital Services Act (DSA), European legislation requiring online platforms to combat illegal content, child exploitation, and disinformation.

In other words, regulators enforcing EU rules against American tech platforms had their identities handed to the U.S. Congress by the company they were regulating.

This is the GDPR versus CLOUD Act conflict in its starkest form. The EU's General Data Protection Regulation forbids companies from transferring European citizens' personal data to foreign governments without proper legal safeguards. The U.S. Cloud Act requires American companies to provide data to U.S. authorities upon request, regardless of where it's stored.

Microsoft is legally required to comply with U.S. law. But it's also required to comply with EU law. When those laws conflict, Microsoft chose Washington over Brussels.

State Secretary Eric van der Burg expressed concern but stated he wanted to investigate specifics before drawing conclusions. State Secretary Willemijn Aerdts was more direct, telling U.S. Ambassador Joe Popolo: "If you have a problem, you fight it out with us or, if necessary, in Europe, but not against the backs of civil servants."

The incident reflects growing Dutch—and broader European—frustration with technological dependence on American companies. Both van der Burg and emphasized that achieving will require significant time. The is actively pursuing reduced reliance on major U.S. tech firms and exploring partnerships with European alternatives.