European firms are turning to sovereign clouds for compliance and resilience with stricter regulations and geopolitical risks, says ISG.

European companies are increasingly turning to sovereign clouds to navigate stringent regulations, geopolitical uncertainties, and escalating requirements for data clarity, according to ISG. The adoption of sovereign clouds underscores a prominent shift in the business landscape, with companies prioritizing compliance and risk mitigation. This trend is driven by a surge in demand for enhanced data security and privacy measures, prompting organizations to leverage sovereign clouds for safeguarding sensitive information. The move towards sovereign clouds reflects a strategic response to address evolving regulatory frameworks and geopolitical dynamics. This development highlights the importance of prioritizing data protection and transparency in today's business environment.