They renewed every contract, but the French government is hard at work at replacements for Microsoft stuff, called 'la suite'. The Germans are doing the same under the name 'opendesk' and the suite shares a lot of common tools in fact.
This predates Trump II by the way, they did have more foresight than a lot of EU institutions.
Things have changed for sure but big ships take long to turn.
There are already credible alternatives, from the EU, which do not require rebuilding everything from scratch. OnlyOffice, for instance. The french government's job isn't to write a new office SaaS suite.
This is sabre rattling and everyone knows it. A municipality in Germany already tried switching to open source. They're back on Office and Sharepoint.