oboloo Articles

What is Data Sovereignty? Definition

What is Data Sovereignty? Definition

Data sovereignty is the concept that data should be stored and processed in the country where it was collected. This is important for data privacy and security, as well as for legal compliance. There are a number of advantages to data sovereignty, including the ability to better protect citizens’ data, improved data security, and increased control over how data is used. However, there are also some challenges associated with data sovereignty, such as the potential for higher costs and increased complexity. In this blog post, we will explore the concept of data sovereignty in more depth, including its advantages and challenges. We will also provide some tips on how to ensure your data is sovereign.

What is Data Sovereignty?

Data sovereignty refers to the right of a nation to exert control over its data. This includes data that is stored within the country’s borders as well as data that is stored outside of the country’s borders. Data sovereignty gives a nation the right to determine how its data is used, accessed, and protected.

Data sovereignty has become an important issue in recent years as the use of cloud computing and other technologies has made it easier for organizations to store and share data across borders. Nation-states are increasingly asserting their rights over data, and multinational companies are struggling to comply with conflicting laws and regulations.

The European Union has been at the forefront of efforts to promote data sovereignty. The EU’s General Data Protection Regulation (GDPR) requires companies to get explicit consent from users before collecting, processing, or sharing their personal data. The GDPR also gives individuals the right to know what personal data is being collected about them, the right to have that data erased, and the right to object to its use.

Data sovereignty is likely to continue to be a hot-button issue in the years ahead. As more and more businesses rely on technology to operate, they will need to be mindful of the laws and regulations governing data storage and sharing in different jurisdictions.

What are the benefits of Data Sovereignty?

Data sovereignty is the legal concept that data should be subject to the laws of the country in which it is stored. The EU has recognized data sovereignty as a fundamental right, and the US has recently begun to consider it as well.

There are many benefits to data sovereignty, including:

1. Data is more secure when it is subject to the laws of the country in which it is stored. This is because those laws will typically provide for stronger security measures than would be the case if the data were subject to the laws of another country.

2. Data sovereignty can help to prevent cross-border data flows that could result in personal data being accessed and used without the individual’s consent.

3. Data sovereignty can help to ensure that companies comply with local privacy laws. This is particularly important in jurisdictions where there are strict privacy laws, such as in Europe.

4. Data sovereignty can help to create jobs and economic growth. This is because companies may be more likely to locate their operations in countries with strong data protection regimes, in order to take advantage of those regimes.

5. Data sovereignty can help to protect freedom of expression and other fundamental rights. This is because restrictions on cross-border data flows could limit an individual’s ability to access information or communicate freely with others

What are the challenges of Data Sovereignty?

There are a few key challenges when it comes to data sovereignty:

1. Ensuring that data is stored and processed within the country’s borders: This can be a challenge if data needs to be shared with other countries or organizations. There are often legal implications and regulations that need to be followed.

2. Maintaining control over who has access to the data: This is important for protecting the privacy of individuals and ensuring that sensitive information is not accessed or shared without permission.

3. Ensuring that the data is secure: Data sovereignty requires that adequate security measures are in place to protect the data from unauthorized access, disclosure, or destruction.

How can Data Sovereignty be improved?

There is no one answer to this question as the improvement of data sovereignty depends on the specific needs and circumstances of each individual country. However, some ways in which data sovereignty could be improved include:

1. Increasing transparency around how data is collected, used and shared – both within government and with private sector partners.

2. Establishing clear rules and regulations governing data handling, storage and sharing, including penalties for breaches.

3. Enhancing security measures to protect data from unauthorized access or theft.

4. Investing in capacity building so that government agencies and businesses have the requisite skills and knowledge to effectively manage data.

5. Working collaboratively with other countries to develop best practices around data governance.


Data sovereignty is a term that is often used in the context of data security and privacy. It refers to the idea that data should be stored and processed within the country of its origin, in order to ensure that it is properly protected under local laws. While data sovereignty can offer some advantages, it also has its challenges, such as the potential for increased costs and complexity. Ultimately, whether or not data sovereignty is right for your business will depend on your specific needs and objectives.

Want to find out more about oboloo?

Find out how oboloo contract management software can increase your contract visibility and reduce risk

Oboloo transparent

The smarter way to have full visibility & control of your suppliers


Feel free to contact us here. Our support team will get back to you as soon as possible

Oboloo transparent

The smarter way to have full visibility & control of your suppliers



Feel free to contact us here. Our support team will get back to you as soon as possible

© 2023 oboloo Limited. All rights reserved. Republication or redistribution of oboloo content, including by framing or similar means, is prohibited without the prior written consent of oboloo Limited. oboloo, Be Supplier Smart and the oboloo logo are registered trademarks of oboloo Limited and its affiliated companies. Trademark numbers: UK00003466421 & UK00003575938 Company Number 12420854. ICO Reference Number: ZA764971

Skip to toolbar