What Do Organizations Look for When Choosing a Sovereign Cloud Provider?
This IDC Market Perspective explores the rising demand for digital sovereignty solutions, driven primarily by regulatory compliance needs. Digital sovereignty encompasses data, technical, and operational sovereignty, which are crucial for organizations seeking greater control over their data and cloud infrastructure. The report identifies several drivers of sovereign cloud solution adoption, including compliance with regulations and local legislation, protection against extra-territorial data requests, and the need to enhance cybersecurity.When choosing a sovereign cloud partner, organizations prioritize cybersecurity credentials and country-level certifications. Government organizations, in particular, value these certifications highly. The need for independent bodies to certify cloud services is highlighted, as current legislation is not ubiquitous or based on universally agreed standards.The report also provides a snapshot of the sovereign cloud market, noting that major global vendors such as AWS, Google Cloud, IBM, Microsoft Azure, and Oracle have developed or are developing sovereign cloud services. However, the market is still nascent, and current data regarding vendor perceptions should be viewed as indicative rather than definitive.In conclusion, the report advises service providers to emphasize their cybersecurity credentials, ensure transparency, and offer flexibility to avoid vendor lock-in. Providers must also ensure the sovereignty of their entire partner ecosystem to meet stringent client requirements."Interest in sovereign cloud solutions is on the rise across the world, and not just in regulated industry sectors. Digital sovereignty, which includes sovereign cloud, is not just about compliance; it is also about control, security, and trust in an increasingly interconnected world." — Rahiel Nasir, Research Director for European Cloud Strategies and Lead Analyst for Worldwide Digital Sovereignty, IDC
Executive Snapshot
New Market Developments and Dynamics
Introduction
Industry Dynamics
What Customers Look for in a Sovereign Cloud Provider