Data Residency Rules Cutting Into Clouds: Impact and Options for Global Businesses and IT Architectures

Data residency laws, also known as “data localization laws,” require that companies store certain types of data or records locally within a jurisdiction. A handful of countries have recently enacted such laws, citing data privacy protection purposes, but in reality to facilitate better access to data for their law enforcement and intelligence agencies and to favor local data hosting companies or direct foreign investment in local data centers. In the current political climate with increasingly nationalistic and protectionist trade agendas, global businesses as well as providers and users of cloud computing technologies need to prepare for the worst.

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