In today’s rapidly evolving digital landscape, understanding data sovereignty and cybersecurity compliance is more critical than ever. I’m thrilled to sit down with Maryanne Baines, a renowned authority in cloud technology. With her extensive experience evaluating cloud providers, their tech stacks, and product applications across various industries, Maryanne offers unparalleled insights into how businesses can navigate the complex world of data protection and regulatory demands. In this conversation, we explore the broader implications of data sovereignty, the growing cyber threats targeting data, the impact of regulations on operational resilience, and the challenges of managing data in an interconnected world.
How do you define data sovereignty beyond just the physical location of data, and why does it matter so much today?
Data sovereignty is about much more than where data is stored; it’s about control, autonomy, and accountability over that data throughout its lifecycle. It means ensuring that a business understands who has access, how it’s being used, and whether it aligns with legal and ethical standards. In today’s world, with data spread across on-premises servers, cloud environments, and third-party systems, sovereignty is critical because data has become a core asset. Losing control can mean financial loss, reputational damage, or even existential threats from cyberattacks. It’s about protecting your business’s future.
What’s the link between data sovereignty and a company’s ability to stay competitive in the current market?
When a company has strong control over its data, it can innovate with confidence. Data sovereignty enables businesses to comply with regulations without slowing down, which is essential for launching new services or adopting technologies like AI. If you’re bogged down by compliance fears or data breaches, you’re not focusing on growth. Sovereignty, when approached holistically, becomes a competitive edge—it builds trust with customers and partners, and it ensures you’re agile enough to pivot in a fast-moving market.
Why do you think some business leaders see compliance as a hurdle rather than a strategic advantage?
Many leaders view compliance as a checkbox exercise—something they have to do to avoid fines or legal trouble. They see it as a cost center, not a value driver. This mindset often comes from a lack of understanding of how compliance ties into broader business goals like resilience and innovation. When you’re just ticking boxes, you miss the bigger picture: compliance frameworks are often designed to protect against real risks. If leaders saw them as tools to build trust and strengthen operations, they’d approach them differently.
How can a more comprehensive approach to compliance support businesses in tackling data sovereignty challenges?
A comprehensive approach means looking at compliance not as a standalone task but as part of your overall data strategy. It involves understanding the full lifecycle of your data—from creation to deletion—and ensuring policies align with business objectives. This mindset helps with sovereignty because it forces you to map out where your data is, who’s handling it, and how it’s protected. It’s about building systems that are resilient by design, so compliance becomes a natural outcome rather than an afterthought.
What are some of the biggest misconceptions you’ve encountered about data sovereignty among business leaders?
One major misconception is that data sovereignty is just about keeping data within national borders. While geography plays a role, it’s equally about control and governance, no matter where the data resides. Another misunderstanding is that sovereignty stifles innovation. In reality, when done right, it enables innovation by providing a secure foundation. Leaders often underestimate the complexity of sovereignty in a cloud-driven world, thinking a single solution will cover all bases, when it requires ongoing attention and adaptation.
Why has data become such a valuable target for cyber attackers in recent years?
Data is the lifeblood of modern businesses—it’s what powers decision-making, customer relationships, and innovation. As data has grown in volume and become more distributed across cloud platforms and third-party systems, it’s also become more accessible to attackers. Whether it’s for ransomware extortion or to disrupt operations for geopolitical reasons, data is a high-value target because compromising it can cripple a company. The stakes are higher now than ever before.
Can you walk us through the primary objectives of threat actors when they target a company’s data?
Threat actors typically have two main goals. The first is financial gain—they encrypt data and demand ransom, or they steal sensitive information to sell on the dark web. The second is more destructive: they aim to completely disable a business, often for competitive or geopolitical reasons. This isn’t just about theft; it’s about inflicting maximum damage by wiping out backups or disrupting critical operations. Both goals underscore why data protection isn’t just an IT issue—it’s a business survival issue.
How do regional variations impact the way companies approach data security and sovereignty?
Regional differences play a huge role. In the Middle East, for instance, security concerns often focus on specific, immediate threats, while in Europe, there’s a broader emphasis on data protection and sovereignty due to stringent regulations like GDPR. Even within Europe, countries closer to conflict zones, like the Baltic States, may face more frequent and severe cyber threats, shaping a more urgent approach. These variations mean companies must tailor their strategies to local risks and regulatory environments while maintaining a global perspective.
Why are backups often the top target for cyber attackers, and what does this mean for businesses?
Backups are the ultimate prize for attackers because they represent a company’s last line of defense. If you can corrupt or destroy backups, you eliminate a business’s ability to recover from an attack, making ransomware demands more effective or disruption more permanent. For businesses, this means backups can’t just be an afterthought—they need to be secured with the same rigor as primary data, using isolated storage and immutable copies to ensure they’re not compromised.
How do regulations like DORA or NIS2 in Europe contribute to improving a company’s cybersecurity and operational resilience?
Regulations like DORA and NIS2 are designed to push companies toward a stronger cybersecurity posture by setting clear standards for risk management and incident response. They focus on operational resilience, ensuring that businesses can withstand and recover from disruptions, whether from cyberattacks or natural disasters. By mandating things like regular testing and reporting, these frameworks force companies to prioritize data control and build systems that aren’t just reactive but proactively robust.
What challenges do businesses face when technology evolves faster than regulatory frameworks?
The pace of tech innovation often outstrips the law, leaving businesses in a gray area. For example, the rise of AI and distributed cloud systems has introduced new risks and data handling complexities that older regulations don’t address. Companies struggle to anticipate future rules while managing current compliance, often leading to patchwork solutions. This lag means businesses must be forward-thinking, adopting best practices even before they’re mandated, to avoid being caught off guard.
How can businesses balance robust data protection with the need to manage costs effectively?
It’s about managing risk to an acceptable level rather than aiming for zero risk, which is financially unsustainable. Businesses need to prioritize critical data assets and allocate resources accordingly—think encryption, access controls, and secure backups for high-value data. Leveraging scalable cloud solutions can also help control costs while maintaining security. The key is to integrate protection into your operations from the start, so it’s not a costly add-on but a core part of your strategy.
Why is understanding the full lifecycle of data so essential for businesses today?
Knowing your data’s lifecycle—from creation to archival or deletion—gives you visibility and control, which are the cornerstones of sovereignty and security. Without this understanding, you can’t protect what you don’t see, and you risk breaches or non-compliance. It also helps you optimize resources, ensuring data isn’t stored unnecessarily, which reduces both cost and risk. In an era of distributed systems, lifecycle awareness is non-negotiable for resilience.
How does collaboration with other organizations impact data sovereignty and security?
Working with partners—like a hospital collaborating with a lab—can streamline operations, but it complicates sovereignty and security. Data shared across entities means you’re reliant on their controls, and a breach on their end can ripple to you. It’s a double-edged sword: efficiency increases, but so does vulnerability. Businesses need clear agreements on data handling and shared responsibility to maintain sovereignty, ensuring everyone in the chain upholds the same standards.
What is your forecast for the future of data sovereignty as technology continues to advance?
I see data sovereignty becoming even more central as technologies like AI and edge computing grow. We’ll likely face stricter regulations globally, with a focus on data control rather than just location. Businesses will need to adopt more dynamic, automated tools to track and protect data across increasingly complex environments. At the same time, sovereignty could become a driver of innovation—those who master it will build trust and agility, setting themselves apart in a crowded market. The challenge will be balancing security with speed, but I’m optimistic that with the right mindset, companies can turn sovereignty into a strategic asset.
