The royal family is not harmonious during Otto's early reign, despite his peaceful transition to the throne of Germany.

Otto's younger brother, Henry, also claims the throne, contrary to his father's wishes.

According to his biography, Vita Mathildis reginae posterior, their mother had favored Henry as king: in contrast to Otto, Henry had been "born in the purple" during his father's reign and shared his name.

Otto also faces internal opposition from various local aristocrats.

According to Widukind of Corvey, in 936, Otto appoints Hermann Billung as Margrave, granting him authority over a march north of the Elbe River between the Limes Saxoniae and Peene Rivers.

As military governor, Hermann extracts tribute from the Polabian Slavs inhabiting the area and often fight against the Western Slavic tribes of the Lutici, Obotrites, and Wagri.

Hermann's appointment angers his brother, Count Wichmann the Elder.

As the elder and wealthier of the two, Wichmann believes his claim to the office is superior to his brother's.

Additionally, Wichmann is related by marriage to the dowager queen Matilda.