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Vultr spotlighted in Omdia Sovereign Cloud 2025 market report

Thu, 17th Apr 2025

Vultr has been named as a vendor in the 2025 Omdia Market Radar: Sovereign Cloud report.

The recognition draws attention to the rise in demand for sovereign cloud infrastructure, which has come into sharper focus as both organisations and governments seek more direct control over their data, particularly within defined geographic borders. Sovereign cloud refers to cloud infrastructure designed to ensure that data remains within a particular national or regional jurisdiction, in compliance with local data protection and privacy requirements.

The Omdia Market Radar report examines how cloud service providers are responding to growing interest in sovereign cloud as new regulatory frameworks emerge globally. Omdia has detailed a six-level model for sovereign cloud, each mapped to requirements on data protection, processing, control, and privacy according to specific country stances and legislation.

Roy Illsley, Chief Analyst at Omdia, commented on the wider market dynamics. He said, "Increased global scrutiny and stricter data privacy regulations have put the need for sovereign clouds to the forefront, fueling the emergence of a new market and intensifying competition among cloud service providers. Vultr has developed an approach to public cloud that is more agile and can be deployed within countries the hyperscale cloud providers find uneconomical to enter."

Vultr has, since early 2024, offered Vultr Sovereign Cloud, which is tailored to help governments, research institutions, and enterprises establish cloud-native infrastructure while ensuring that key data and technology are kept within national boundaries. The offering aims to address regulatory needs by ensuring that data, technology, and operations are retained locally and not transmitted or processed outside the specified jurisdiction.

Unlike some cloud providers that may store or process data in distant regions, Vultr's model is focused on customer control, offering the choice to keep data resident in the selected country or region. This approach is particularly pertinent as more national governments introduce and enforce rules mandating the localisation of sensitive information to secure citizen and organisational data from external access or transfer.

J.J. Kardwell, Chief Executive Officer of Vultr, explained the company's philosophy around this approach, stating, "At Vultr, we believe that data sovereignty is a cornerstone of trust and security in the digital age. Our approach ensures customers maintain full ownership of their data, regardless of how and where it is stored. This gives customers peace of mind that their sensitive information remains secure and managed in a compliant way. With 32 cloud data centre regions worldwide, we are committed to empowering our global customers to operate with confidence, knowing their data is both protected and under their control."

Sovereign cloud is becoming a central component in digital transformation strategies in Europe and elsewhere, as regulations such as the EU General Data Protection Regulation and country-specific initiatives continue to reshape the landscape for cloud service providers. The emphasis on sovereignty has prompted providers to adapt their solutions to enable compliance, security, and local control for clients operating in tightly regulated sectors.

The Omdia Market Radar: Sovereign Cloud 2025 report sets out to map the responses and strategic shifts among cloud service providers as they cater to this evolving need, noting the competitive environment and the challenges of compliance with a diverse array of global regulatory standards.

Vultr's inclusion in the report is linked to its focus on agility and the ability to deploy in regions where larger hyperscale providers may not operate due to economic constraints. The company operates 32 cloud data centre regions across the globe, which supports its aim of providing both flexibility and data control for its clients.

The broader uptake of sovereign cloud continues as organisations seek reliable infrastructure that aligns with stricter national and regional data protection mandates.

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