The German government is canceling a contract with Verizon over fears the company could be letting U.S. intelligence agencies eavesdrop on official communications.
The Interior Ministry says it will let its current contract for Internet services with the New York-based company expire in 2015.
The announcement comes after reports this week that Verizon and British company Colt provide Internet services to the German parliament and other official entities.
Germany has been at the forefront of international outrage over alleged electronic eavesdropping by the U.S. National Security Agency and Britain's GCHQ, revealed last year by former NSA contractor Edward Snowden.
Ministry spokesman Tobias Plate said Thursday that Germany wants to ensure it has full control over highly sensitive government communications networks. Verizon didn't immediately respond to a request for comment.