Data Sovereignty

Data sovereignty is the principle that data is subject to the laws of the country in which it is stored. An organization that requires data to remain within a specific geographic region (EU, US, China) has data sovereignty constraints that affect where PLM can be deployed.

Why it matters

Regulated industries (aerospace, defense, medical, financial) and organizations in the EU (GDPR) have strict data residency requirements that favor on-premise or private cloud over multi-tenant public cloud.

Related concepts

Cite this definition

Finocchiaro, Michael. “Data Sovereignty.” DemystifyingPLM PLM Glossary, 2026, https://www.demystifyingplm.com/glossary/data-sovereignty