What selection criteria should be prioritized for a company expanding its cloud presence in a region with strict data sovereignty rules?

For a company expanding its cloud presence in a region with strict data sovereignty rules, prioritizing data governance and legal requirements is crucial. Data sovereignty refers to the concept that data is subject to the laws and regulations of the country in which it is located. This means that organizations must ensure compliance with local laws governing data privacy, security, and ownership. Failure to adhere to these requirements can lead to significant legal implications, including fines and damage to reputation.

Selecting a cloud service provider that understands and can comply with these regulations ensures that the company can operate legally and securely within the jurisdiction. This includes understanding regulations such as GDPR in Europe or specific local laws that might dictate how data is managed, stored, and accessed.

While cost, performance metrics, and availability of resources are all essential factors in cloud operations, they become secondary when compliance with legal frameworks is at stake. If a company disregards data governance and legal requirements, it risks facing compliance issues that could overshadow cost savings or performance benefits from using cloud services. Therefore, concentrating on data governance and legal requirements is the most impactful choice when entering a region with strict regulations.