{"id":122164,"date":"2026-03-13T20:38:09","date_gmt":"2026-03-13T23:38:09","guid":{"rendered":"https:\/\/tech.einnews.com\/article\/899266352"},"modified":"2026-03-13T20:38:09","modified_gmt":"2026-03-13T23:38:09","slug":"tech-nationalism-is-reshaping-cio-infrastructure-strategy","status":"publish","type":"post","link":"https:\/\/new7.shop\/zerocostfreehost\/index.php\/2026\/03\/13\/tech-nationalism-is-reshaping-cio-infrastructure-strategy\/","title":{"rendered":"Tech nationalism is reshaping CIO infrastructure strategy"},"content":{"rendered":"<div><img data-opt-id=758893364  fetchpriority=\"high\" decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/ywAAAAAAQABAAACAUwAOw==\" fifu-lazy=\"1\" fifu-data-sizes=\"auto\" fifu-data-srcset=\"https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=75&resize=75&ssl=1 75w, https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=100&resize=100&ssl=1 100w, https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=150&resize=150&ssl=1 150w, https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=240&resize=240&ssl=1 240w, https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=320&resize=320&ssl=1 320w, https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=500&resize=500&ssl=1 500w, https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=640&resize=640&ssl=1 640w, https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=800&resize=800&ssl=1 800w, https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=1024&resize=1024&ssl=1 1024w, https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=1280&resize=1280&ssl=1 1280w, https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1&w=1600&resize=1600&ssl=1 1600w\" fifu-data-src=\"https:\/\/i3.wp.com\/eu-images.contentstack.com\/v3\/assets\/blt69509c9116440be8\/bltefc38c69738a1372\/681250c8a1db62a133625417\/cloud_governance-ScimanSky_-alamy.jpg?disable=upscale&width=1200&height=630&fit=crop&ssl=1\" class=\"ff-og-image-inserted\"><\/div>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The use of technology policy to advance national economic and security interests, also known as <\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><a class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_link\" rel=\"noreferrer\" target=\"_blank\" href=\"https:\/\/www.techtarget.com\/whatis\/feature\/Techno-nationalism-explained-What-you-need-to-know\">tech nationalism<\/a><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">, is no longer a distant geopolitical trend. It is becoming a direct operating constraint for CIOs &#8212; and it&#8217;s far more involved than many CIOs realize.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Vendors aren\u2019t much help in clearing the confusion, as they tend to blur three key concepts that CIOs need to separate, said Collin Hogue-Spears of Black Duck &#8212; data residency, data localization and data sovereignty.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><span class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_italic\">&#8220;Data residency<\/span><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"> means your data physically sits in Germany [for example]. <\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><span class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_italic\">Data localization<\/span><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"> means German law requires it to stay there. <\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><span class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_italic\">Data sovereignty<\/span><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"> means no foreign government can compel access to it &#8212; and that&#8217;s where everything breaks down,&#8221; said Hogue-Spears, public cloud compliance leader and senior director of product management at Black Duck, a security provider.<\/span><\/p>\n<h4 class=\"ContentText ContentText_variant_h4 ContentText_align_left\" data-testid=\"content-text\" id=\"Complying with different international laws\">Complying with different international laws<\/h4>\n<p data-component=\"related-article\" class=\"RelatedArticle\"><span data-testid=\"related-article-title\" class=\"RelatedArticle-Title\">Related:<\/span><a class=\"RelatedArticle-RelatedContent\" href=\"https:\/\/www.informationweek.com\/data-governance\/follow-the-four-essentials-of-successful-master-data-management\" target=\"_self\" data-discover=\"true\">Follow the four essentials of successful master data management<\/a><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Consider that the <\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><a class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_link\" rel=\"noreferrer\" target=\"_blank\" href=\"https:\/\/www.justice.gov\/criminal\/cloud-act-resources\">U.S. CLOUD Act<\/a><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"> empowers American law enforcement to demand data from any U.S.-headquartered company, regardless of where it&#8217;s stored. Now think what that means to CIOs after a <\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><a class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_link\" rel=\"noreferrer\" target=\"_blank\" href=\"https:\/\/www.msn.com\/en-us\/news\/technology\/microsoft-admits-it-cannot-guarantee-data-sovereignty\/ar-AA1JhNx4\">Microsoft executive told the French Senate<\/a><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"> in July 2025 that they cannot guarantee protection from CLOUD Act requests, even with their own <\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><a class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_link\" rel=\"noreferrer\" target=\"_blank\" href=\"https:\/\/www.microsoft.com\/en-us\/trust-center\/privacy\/european-data-boundary-eudb?msockid=38408cb97ae86f2a3863999d7beb6e33\">EU Data Boundary<\/a><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"> offering.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">That means \u201cyou&#8217;re paying 15-30% more for infrastructure that answers the &#8216;where does it live&#8217; question, while leaving &#8216;who can access it&#8217; wide open,\u201d Hogue-Spears explained.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Additionally, governments are asserting greater <\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><a class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_link\" href=\"https:\/\/www.informationweek.com\/ai-innovations\/if-advanced-ai-chips-stay-in-america-how-do-cios-protect-global-performance-\" target=\"_self\" data-discover=\"true\">control over semiconductors<\/a><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">, cloud infrastructure, AI models, and cross-border data flows, turning once-routine IT decisions into strategic choices shaped by regulation, security priorities, and geopolitical risk.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">For enterprise leaders, this means their technology strategy is no longer borderless. Vendor selection, architecture, and data governance decisions must now also account for export controls, sanctions exposure, sovereignty requirements, and <\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><a class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_link\" rel=\"noreferrer\" target=\"_blank\" href=\"https:\/\/www.supplychaindive.com\/news\/supply-chain-risks-trends-outlook-2026\/810852\/\">supply chain disruptions<\/a><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">&#8220;This matters a lot when you&#8217;re deciding where to put your cloud infrastructure, who gets access to data, and which vendors to work with,&#8221; said Daniel Herszberg, a doctoral researcher at the University of Oxford whose work centers on law and political power, with a particular focus on the Greater China region.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Such a fragmented global tech landscape requires CIOs to juggle the need to modernize systems with the equal need to build resilience, in an era where politics increasingly dictates the limits of the stack.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The challenges are formidable in navigating the rapidly fluctuating differences in both definitions and goals between nations and global companies. It is undeniable that it&#8217;s \u201can increasingly unpredictable world,&#8221; said Andreas Prins, global head sovereign solutions at SUSE, who added that their &#8220;global customers rank digital sovereignty as one of their main priorities.&#8221;<\/span><\/p>\n<h2 class=\"ContentText ContentText_variant_h2 ContentText_align_left\" data-testid=\"content-text\" id=\"Sovereign cloud pros and cons&nbsp;\">Sovereign cloud pros and cons&nbsp;<\/h2>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">One of the clearest consequences of tech nationalism is the rise of sovereign cloud infrastructure. A <\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><a class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_link\" href=\"https:\/\/www.informationweek.com\/cloud-computing\/privatizing-cloud-the-rise-of-private-and-sovereign-clouds\" target=\"_self\" data-discover=\"true\">sovereign cloud<\/a><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"> aims to help an organization meet its digital sovereignty goals in terms of data residency, data privacy, and operational control. In short, it aims to ensure that sensitive data remains within specific geographic boundaries, complies with local regulations, and stays under the jurisdiction of domestic laws rather than in reach of any foreign governments.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">To achieve this, sovereign clouds typically offer physically isolated infrastructure that is located well within a specific country&#8217;s borders. These clouds are also often operated by local entities or through partnerships that limit foreign access to data and systems.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">In theory, sovereign clouds are effective at meeting compliance requirements and providing some legal protection, which is why they are in high demand by government agencies, critical infrastructure operators, and highly regulated industries like finance and healthcare. However, in practice their effectiveness varies considerably, with only some providing truly isolated environments with domestic-only operations.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">If deployed comprehensively, the pros in using sovereign clouds include:<\/span><\/p>\n<div data-component=\"basic-list\" class=\"BasicList BasicList_nestedLevel_0 BasicList_variant_unordered BasicList_limited\">\n<ul data-testid=\"basic-list-unordered\" class=\"BasicList-UnorderedList\">\n<li>\n<div class=\"BasicList-ListItem BasicList-ListItem_variant_unordered\"><span data-component=\"icon\" data-name=\"Circle\" class=\"BasicList-ListIcon BasicList-ListIcon_variant_unordered DefaultIcon\"><\/span><\/p>\n<div class=\"BasicList-Item\" data-testid=\"basic-list-item-text\">\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Enhanced regulatory compliance.<\/span><\/p>\n<\/div>\n<\/div>\n<\/li>\n<li>\n<div class=\"BasicList-ListItem BasicList-ListItem_variant_unordered\"><span data-component=\"icon\" data-name=\"Circle\" class=\"BasicList-ListIcon BasicList-ListIcon_variant_unordered DefaultIcon\"><\/span><\/p>\n<div class=\"BasicList-Item\" data-testid=\"basic-list-item-text\">\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Reduced foreign surveillance risks.<\/span><\/p>\n<\/div>\n<\/div>\n<\/li>\n<li>\n<div class=\"BasicList-ListItem BasicList-ListItem_variant_unordered\"><span data-component=\"icon\" data-name=\"Circle\" class=\"BasicList-ListIcon BasicList-ListIcon_variant_unordered DefaultIcon\"><\/span><\/p>\n<div class=\"BasicList-Item\" data-testid=\"basic-list-item-text\">\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Greater control over data governance.<\/span><\/p>\n<\/div>\n<\/div>\n<\/li>\n<li>\n<div class=\"BasicList-ListItem BasicList-ListItem_variant_unordered\"><span data-component=\"icon\" data-name=\"Circle\" class=\"BasicList-ListIcon BasicList-ListIcon_variant_unordered DefaultIcon\"><\/span><\/p>\n<div class=\"BasicList-Item\" data-testid=\"basic-list-item-text\">\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Alignment with national security interests.&nbsp;<\/span><\/p>\n<\/div>\n<\/div>\n<\/li>\n<\/ul>\n<\/div>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">These clouds can also foster domestic technology ecosystems and reduce dependence on foreign providers, making them especially appealing to nations seeking their own data or AI sovereignty.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The cons, meanwhile, include:<\/span><\/p>\n<div data-component=\"basic-list\" class=\"BasicList BasicList_nestedLevel_0 BasicList_variant_unordered BasicList_limited\">\n<ul data-testid=\"basic-list-unordered\" class=\"BasicList-UnorderedList\">\n<li>\n<div class=\"BasicList-ListItem BasicList-ListItem_variant_unordered\"><span data-component=\"icon\" data-name=\"Circle\" class=\"BasicList-ListIcon BasicList-ListIcon_variant_unordered DefaultIcon\"><\/span><\/p>\n<div class=\"BasicList-Item\" data-testid=\"basic-list-item-text\">\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Significantly higher costs.<\/span><\/p>\n<\/div>\n<\/div>\n<\/li>\n<li>\n<div class=\"BasicList-ListItem BasicList-ListItem_variant_unordered\"><span data-component=\"icon\" data-name=\"Circle\" class=\"BasicList-ListIcon BasicList-ListIcon_variant_unordered DefaultIcon\"><\/span><\/p>\n<div class=\"BasicList-Item\" data-testid=\"basic-list-item-text\">\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Slower innovation cycles compared to global hyperscalers.<\/span><\/p>\n<\/div>\n<\/div>\n<\/li>\n<li>\n<div class=\"BasicList-ListItem BasicList-ListItem_variant_unordered\"><span data-component=\"icon\" data-name=\"Circle\" class=\"BasicList-ListIcon BasicList-ListIcon_variant_unordered DefaultIcon\"><\/span><\/p>\n<div class=\"BasicList-Item\" data-testid=\"basic-list-item-text\">\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Limited geographic redundancy options.<\/span><\/p>\n<\/div>\n<\/div>\n<\/li>\n<li>\n<div class=\"BasicList-ListItem BasicList-ListItem_variant_unordered\"><span data-component=\"icon\" data-name=\"Circle\" class=\"BasicList-ListIcon BasicList-ListIcon_variant_unordered DefaultIcon\"><\/span><\/p>\n<div class=\"BasicList-Item\" data-testid=\"basic-list-item-text\">\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Fewer features.<\/span><\/p>\n<\/div>\n<\/div>\n<\/li>\n<\/ul>\n<\/div>\n<h2 class=\"ContentText ContentText_variant_h2 ContentText_align_left\" data-testid=\"content-text\" id=\"Lock-in, fragmentation and exit risks\">Lock-in, fragmentation and exit risks<\/h2>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Vendor lock-in risks are much higher with sovereign clouds, and there is high potential that the isolation might hinder collaboration with international partners.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Exiting sovereign clouds can also be problematic. For example, organizations operating in China will find \u201cexiting a contract does not mean exiting the governing regulatory framework, as data localization rules, regulatory reporting obligations, technical configurations and questions of government access will likely remain in place even if you, say, for example, replace your provider,\u201d explained Herszberg.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">\u201cOver time, actors may find themselves facing a form of gradual regulatory lock-in, as operational choices narrow quietly and spill over into procurement, interoperability with external systems, and limits on strategic autonomy beyond China,\u201d Herszberg added.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">A cost amplifier complicates the situation further. Fragmentation tops the list of operational and strategic challenges CIOs face when dealing with sovereign clouds, according to Kevin Miller, CTO of IFS North America, a leading global provider of Industrial AI software.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">\u201cMaintaining separate technology stacks by country increases cost and creates operational drag,\u201d Miller explained.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The situation is predicted to grow costlier and more painful for CIOs over time. By 2028, 60% of multinational firms will split their AI stacks across sovereign zones, probably tripling integration costs in the process, according to Mark Minevich, president of Going Global Ventures (GGV), a New York-based investment, technology, and strategic advisory firm.<\/span><\/p>\n<h2 class=\"ContentText ContentText_variant_h2 ContentText_align_left\" data-testid=\"content-text\" id=\"Best practices for sovereign clouds\">Best practices for sovereign clouds<\/h2>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The concept of sovereign clouds is still evolving, mostly because the driver behind its adoption is something completely new. At its core, sovereign cloud adoption is an effort to regain control over the company and its operations.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">\u201cEnterprises are no longer simply trying to keep up with regulators; they\u2019re on a mission to achieve autonomy,\u201d said Utpal Mangla, vice president of Sovereign Cloud at IBM.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">\u201cWhat was once a regulatory concern focused on compliance is now a strategic priority centered around control, resilience and long-term competitiveness,\u201d Mangla added.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Best practices for sovereign clouds, at least thus far, focus on maintaining overall agility and security, particularly with respect to the ability to move your data quickly when the need arises.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">\u201cTrue security comes from transparency and control over your data, including the ability to exit an existing setup. Raising this issue at the board level is crucial to make it a company-level security and business continuity conversation,\u201d said Kim Larsen, CISO at Keepit, a provider of security protection for cloud and company data.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Larsen added that CIOs might also want to look into the ownership of their infrastructure, where metadata is processed, and operational processes, with regards to ownership of hardware and solutions.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The best approach is to design for interoperability, according to Mark Townsend, Co-Founder &amp; CTO at AcceleTrex. Keep sensitive workloads in sovereign environments as required, he added, \u201cbut maintain a portable architecture, containers, API first services, and strong identity layers, so you\u2019re not locked into a single national ecosystem. &nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">\u201cSome vendors are now using AI driven dependency mapping to show exactly which workloads can safely move, reducing both risk and over compliance,\u201d Townsend said.<\/span><\/p>\n<h2 class=\"ContentText ContentText_variant_h2 ContentText_align_left\" data-testid=\"content-text\" id=\"The future of tech nationalist strategy\">The future of tech nationalist strategy<\/h2>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Amid so much complexity, the path forward may seem unclear &#8212; but CIOs cannot delay on this issue. Minevich points to rapid developments that have already taken place: the EU\u2019s launch of its own sovereign cloud; <\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"><a class=\"ContentText-BodyTextChunk ContentText-BodyTextChunk_link\" rel=\"noreferrer\" target=\"_blank\" href=\"https:\/\/www.businesswire.com\/news\/home\/20260114444935\/en\/AWS-Launches-AWS-European-Sovereign-Cloud-and-Announces-Expansion-Across-Europe\">AWS\u2019s European Sovereign Cloud<\/a><\/span><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\"> which went live in January 2026; and the ongoing work in Saudi Arabia, the UAE, and India, with each country building national AI stacks from the ground up.&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">To navigate this terrain, CIOs may need to wear a few different hats or appoint someone specifically to address this challenge.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">\u201cDesigning AI systems that comply with competing regulatory regimes in the EU, U.S., China, and the Gulf simultaneously requires a new hybrid role, which is part geopolitical strategist, part cloud architect, part compliance expert,\u201d said Minevich. \u201cI think of it [the new role] as the \u2018air traffic controller\u2019 for AI across borders.\u201d&nbsp;<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Despite different terminology like digital sovereignty or autonomy, \u201cthe underlying driver is universal: business resilience,\u201d said Prins. \u201cCompanies want greater independence and control over their own destiny, and they&#8217;re recognizing that their IT stack directly impacts their ability to achieve that.\u201d<\/span><\/p>\n<p><strong><a href=\"https:\/\/blockads.fivefilters.org\"> <\/a><\/strong> <a href=\"https:\/\/blockads.fivefilters.org\/acceptable.html\"> <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8230; \u00c2\u00a0 One of the clearest consequences of <span class=\"match\">tech<\/span> nationalism is the rise of sovereign &#8230; Industrial AI software. \u00e2\u0080\u009cMaintaining separate <span class=\"match\">technology<\/span> stacks by country increases cost &#8230; compliance,\u00e2\u0080\u009d Townsend said. The future of <span class=\"match\">tech<\/span> nationalist strategy Amid so much &#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[],"class_list":["post-122164","post","type-post","status-publish","format-standard","hentry","category-news","wpcat-1-id"],"_links":{"self":[{"href":"https:\/\/new7.shop\/zerocostfreehost\/index.php\/wp-json\/wp\/v2\/posts\/122164","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/new7.shop\/zerocostfreehost\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/new7.shop\/zerocostfreehost\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/new7.shop\/zerocostfreehost\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/new7.shop\/zerocostfreehost\/index.php\/wp-json\/wp\/v2\/comments?post=122164"}],"version-history":[{"count":0,"href":"https:\/\/new7.shop\/zerocostfreehost\/index.php\/wp-json\/wp\/v2\/posts\/122164\/revisions"}],"wp:attachment":[{"href":"https:\/\/new7.shop\/zerocostfreehost\/index.php\/wp-json\/wp\/v2\/media?parent=122164"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/new7.shop\/zerocostfreehost\/index.php\/wp-json\/wp\/v2\/categories?post=122164"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/new7.shop\/zerocostfreehost\/index.php\/wp-json\/wp\/v2\/tags?post=122164"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}