Sovereign Cloud

What is a Sovereign Cloud?

A sovereign cloud is a cloud computing environment that complies with a specific country or geographical region’s legal framework. The purpose of a sovereign cloud is to ensure compliance with local regulations and support the concept of data sovereignty while lowering the risk of conflicts with diverse data sovereignty regulations around the globe.

Table of Contents Table of Contents

1. What is a Sovereign Cloud?
2. Key Takeaways
3. History of Sovereign Cloud
4. How Sovereign Cloud Works in the Public Cloud
5. Sovereign Cloud Features
6. Encryption and Data Sovereignty
7. Sovereign Cloud Vendors
8. 5 Factors to Consider When Adopting a Sovereign Cloud
9. Sovereign Cloud Benefits and Challenges
10. The Bottom Line
11. FAQs
12. References

Show Full Guide

Table of Contents

1. What is a Sovereign Cloud?
2. Key Takeaways
3. History of Sovereign Cloud
Show Full Guide
4. How Sovereign Cloud Works in the Public Cloud
5. Sovereign Cloud Features
6. Encryption and Data Sovereignty
7. Sovereign Cloud Vendors
8. 5 Factors to Consider When Adopting a Sovereign Cloud
9. Sovereign Cloud Benefits and Challenges
10. The Bottom Line
11. FAQs
12. References

History of Sovereign Cloud

Two events in the early 2010s helped kickstart the demand for cloud sovereignty: Edward Snowden’s revelations about the United States Prism Program and Microsoft’s refusal to comply with an FBI warrant for information held on a non-US server.

Both instances illustrated the need for the development and widespread adoption of cloud services that prioritize data residency, the physical location where data is stored, and ensure compliance with local regulations.

How Sovereign Cloud Works in the Public Cloud

Sovereign cloud providers ensure that all data storage, processing, and data access complies with the local laws of a designated country or region. To do this, public cloud providers like AWS or Azure set up regional data centers that isolate data within the country’s borders. Strict access controls and encryption protocols protect the data from cross-border data transfers, and ensure that only authorized personnel can access it.

Typically, cloud providers have reporting features that make it easier for customers to document their compliance in the cloud with legal requirements for a specific region.

Claims of sovereignty are established with regular security audits that review access permissions and data movement within a set period of time.

If a cloud provider fails its sovereignty assessments, it may have to pay a penalty or reimburse subscribers for damage caused by rogue access. The specific consequences of failing sovereignty assessments can vary depending on the jurisdiction and the terms of service (ToS) agreement between the provider and customer.

Sovereign Cloud Features

Sovereign clouds are addressing growing concerns around data privacy, national security, and regulatory compliance in an increasingly interconnected global landscape.

Key features of a sovereign cloud include:

• Local data residency
• Local operations and staffing
• Clear data ownership
• Strict access controls
• High availability and data redundancy for hosting services
• Compliance with data portability regulations
• Data transparency and auditability

Encryption and Data Sovereignty

To protect sensitive data, a sovereign cloud typically encrypts data at rest, data in transit (DIT), and data in use.

This layered encryption strategy ensures that even in the event of unauthorized access, data can’t be read or used without the correct data decryption keys. To enforce sovereignty, the secret keys used to encrypt and decrypt data are managed within the specified jurisdiction. This ensures that local laws and regulations govern access to the keys and, consequently, the data itself.

Sovereign Cloud Vendors

Sovereign cloud vendors provide cloud services that meet the specific regulatory and compliance requirements of their customers in different countries and industries.

Tier 1 vendors offering sovereign cloud services include:

5 Factors to Consider When Adopting a Sovereign Cloud

The standards for a sovereign cloud vary depending on where the cloud servers and data are located, so it’s important to consider these five factors when choosing a sovereign cloud provider:

Sovereign Cloud Benefits and Challenges

Sovereign clouds offer numerous benefits, especially for organizations that operate in highly regulated industries or countries with strict data sovereignty laws. However, sovereign clouds also present several challenges, and organizations need to carefully weigh the advantages and disadvantages before adopting a sovereign cloud strategy.

The Bottom Line

A sovereign cloud, by definition, is designed to meet the specific data sovereignty requirements of a particular country or region. The bottom line is that stricter data regulations and growing geopolitical tensions will make sovereign clouds increasingly important in the future for organizations that do business internationally.

FAQs