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Home / Business and Economy / 35 Million Euros Wasted on Unusable "Secure" Smartphones

35 Million Euros Wasted on Unusable "Secure" Smartphones

16 Dec

•

Summary

  • German Ministry spent 35 million euros on unusable secure smartphones.
  • Infrastructure incompatibility prevented encrypted communication until June 2025.
  • Many customs employees refused to use the phones due to functional limits.
35 Million Euros Wasted on Unusable "Secure" Smartphones

The German Federal Ministry of Finance has been criticized by the Federal Audit Office for a significant waste of taxpayer funds, totaling 35 million euros. This expenditure was for the procurement of 17,321 "secure" smartphones intended for the customs administration to facilitate encrypted communication up to classified information levels.

However, it was discovered post-purchase that the IT infrastructure into which these smartphones were to be integrated was not cleared for classified information until June 2025. Consequently, the expensive devices could not be used for their intended purpose of secure communication for nearly three years after their purchase. Many customs employees also found the smartphones to have significant functional limitations, such as issues with the calendar and email retrieval, leading them to continue using their basic mobile phones.

The Federal Audit Office deemed the investment a misstep, noting the smartphones' functional restrictions and high power consumption, which severely impacted battery life. Although the majority of these unusable phones were replaced in 2024, the ministry failed to achieve its objective of enhanced secure communication, highlighting a need for better procurement practices to ensure equipment is fit for purpose.

Disclaimer: This story has been auto-aggregated and auto-summarised by a computer program. This story has not been edited or created by the Feedzop team.
The smartphones were unusable because the IT infrastructure they were meant to integrate with was not cleared for classified information until June 2025.
The Federal Ministry of Finance spent approximately 35 million euros on the unsuitable smartphones.
The smartphones had limitations like non-functional calendars, issues with work emails, and poor battery life, leading many employees not to use them.

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