Central Switzerland Zug municipalities want to outsource their IT services

The city of Zug and its municipalities are planning to outsource their IT services and establish a public limited company for this purpose. The new company is to commence operations on January 1, 2026.

Before "IT Services Zug AG" can be founded and the shares subscribed, the city parliament of Zug and the municipal assemblies must give their blessing to the reorganization, wrote the city of Zug in its press release on Monday.

According to the city of Zug, IT services are currently provided by the IT department of the city of Zug, the Office for IT and Organization of the Canton of Zug and the Zug municipalities themselves. The departments are confronted with numerous challenges. For example, the IT department is affiliated to the Finance Department of the City of Zug, which means that the municipalities have no say in the processes.

In future, the new operating organization in the form of a public limited company will include all Zug municipalities and provide procurement, operation, support or applications for the city and the Zug municipalities. The new public limited company will be owned by the City of Zug and the Zug municipalities.

The establishment of "IT Services Zug AG" is planned for the second half of 2025. According to the press release, the capitalization will cost 4.8 million Swiss francs. According to the press release, all municipalities in the canton of Zug signed a letter of intent in spring of this year and agreed to purchase their IT services from the new organization and become shareholders in the public limited company.

SDA