Governments around the world are implementing data sovereignty regulations governing digital processes and cloud usage. Organizations need to develop comprehensive data sovereignty strategies to meet the changing regulatory requirements.
However, navigating data sovereignty in the cloud is often easier said than done. However, the cloud offers solutions that can help streamline the process. We’re covering the basics of data sovereignty, along with some of the solutions you should be able to find in the cloud.
What is Data Sovereignty?
Data sovereignty refers to the regulations specifying how organizations manage their digital assets, including their use of the cloud. Regulations may require data to remain within a certain jurisdiction and specify how it must be managed. Other areas of regulation include technical portability, operations, and in-country business continuity.
Keeping up with data sovereignty is challenging. Laws rapidly change and can vary widely in different jurisdictions. Sovereign cloud solutions are evolving alongside these regulatory changes to address the growing demand for digital sovereignty.
A Look at Potential Cloud Solutions for Data Sovereignty
The commercial public cloud can address some aspects of digital sovereignty. For example, organizations can store their data in a region specific cloud within their country. This typically helps satisfy data residency requirements.
However, many organizations learn they need more specialized cloud capabilities to meet regulatory requirements while using sensitive data and applications in the cloud. As you’re evaluating sovereign cloud solutions, it’s critical to understand the capabilities of different types of cloud solutions:
- Local data and infrastructure. You control how your data is hosted
- Use separate clouds for different types of data. This effectively restricts data access.
- Localize support and operations to restrict personnel in your cloud. This may not be an issue if you’re strictly using a private cloud.
- Use provided technologies to meet local regulatory standards. This usually includes taking advantage of support from local regulatory agencies. Most can provide you with a list of best practices and offer guidance.
- Isolate your network. Using separate clouds and disconnecting operations can help ensure data sovereignty.
- Controlling encryption keys and other cybersecurity practices can effectively boost data privacy strategies.
While implementing these solutions can take time, it’s worth the effort. You’re helping to ensure your business is meeting data sovereignty regulations. By staying in compliance, you’re avoiding hefty fines and possible irreparable brand reputational damage.
Examples of Data Sovereignty Regulations
The General Data Protection Regulation (GDPR) in the European Union is just one of a growing set of local data privacy and protection laws that govern how organizations must store and handle personal identifiable information (PII).
Companies are also often subject to digital sovereignty regulations specific to their industry, such as the European Union’s Digital Operational Resilience Act, which applies to financial organizations.
Many governments are creating specific guidance for how the public sector should operate in the cloud, such as FedRAMP in the US, Canada’s Protected B classification, or the Information System Security Management and Assessment Program in Japan.
Governments are also authorizing services from cloud providers to be used for government workloads and sensitive data; examples include clouds that Oracle operates that are authorized for public sector use in the US, the UK, and Australia.
Additionally, governments may more directly authorize a cloud service for workloads and industries of national interest to establish digital sovereignty, for example, the government cloud of the Sultanate of Oman.
Think About Your Business’s Data Sovereignty Needs
Organizations and businesses have widely different data sovereignty requirements. They need to find cloud providers offering a range of solutions to address their customers’ specific and localized needs.
Some of these solutions should include clouds restricted to operations in a specific country or a geographical region. Private clouds can be dedicated to a single organization, while others are for use by ministries of a single government. Don’t forget about clouds for use by defense and intelligence organizations.
By offering each country and each organization its own cloud, providers can help businesses meet data sovereignty requirements.
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Don’t Compromise Function for Data Sovereignty
Having data sovereignty capabilities shouldn’t compromise the cloud’s functional, operational, and economic benefits businesses are used to getting. Sovereign cloud solutions should provide a common platform for users with the same functions they get in commercial public clouds.
Looking for cloud service providers offering the same services, usage rates, support, and service level agreements as existing platforms. This way, organizations can use their existing skills, processes, and tooling as they adopt data sovereign cloud solutions. Not only is this more time efficient, but it also helps cut down on costs.