"Given that corporate IT relies heavily on cloud-based infrastructure and services delivered via the public cloud, access to the data held in the cloud is paramount. Should all mission-critical data be held on-premise? What roles should digital sovereignty and digital residency play in a corporate IT strategy? These are among the questions being discussed at Forrester's forthcoming Technology & Innovation Summit in London."
"Imagine going to the gym or doing a run and being unable to access Spotify or Amazon Prime Music. "We have so many dependencies on foreign [IT providers], which entails a dependency on foreign jurisdictions," warned Forrester senior analyst, Dario Maisto."
"Maisto said the fact there is a risk that a foreign government could impose restrictions on the use of such services is leading to IT leaders assessing how and when to use local service providers rather than foreign IT service providers. "Despite what some call the globalisation of IT, the balkanisation of IT means the future of certainty is global," he said. "Certain vital applications that we use in Europe, like ERP [enterprise resource planning] and CRM [customer relationship management] do not even work outside of a hyperscaler's cloud." As Maisto notes, migrating an application from one cloud provider to another's IT infrastructure can take years. "It is a re-engineering exercise," he said. "Just moving an application like Workday from one hyperscaler to another can take up to two years. Can you imagine"
Corporate IT depends heavily on public cloud infrastructure, making access to cloud-held data critical. Geopolitical events and sanctions can interrupt cloud services and drive organisations to assess digital sovereignty and data residency for mission-critical workloads. Rising concerns about foreign jurisdictional control are pushing IT leaders to evaluate local service providers and reduce reliance on distant hyperscalers. Migration between hyperscalers is complex and lengthy, often requiring substantial re-engineering; some enterprise applications may not function outside a particular hyperscaler's cloud. IT strategies must balance resilience, compliance, vendor lock-in, and the practical cost and time of cloud migrations.
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