Data Residency
Working knowledgeGovernance, Safety and Ethics
Also called: Data Localisation
Data residency is the legal and regulatory requirement that personal or corporate data be collected, processed and stored within specific geographic or legal jurisdictions. In enterprise AI, satisfying it means verifying that training pipelines, cloud storage servers and third-party API providers all execute the workload inside the mandated boundary, not just the customer-facing service.
In practice
Data residency is the compliance hurdle that surfaces when a multi-national cloud AI architecture is designed. The failure point is usually a subprocessor: the main vendor is compliant, the model provider sitting behind it is not. Get the full chain documented region by region before go-live, not after the first audit.