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Publication date: 28 Apr 2024

IDC: One-Third of Asia/Pacific Govts Plan to Adopt Sovereign Cloud Services by 2026 Amid Geopolitical and Cyber Challenges


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SINGAPORE, 29 April 2024 – According to a recently released IDC report, State of Sovereign and Industry Cloud Investment by Asia/Pacific Governments, government interest in the region for sovereign cloud solutions is rising due to geopolitical disruptions, increasing cyber threats, evolving data protection regulations, and shifts in digital trade policies. Governments also see sovereign cloud as an economic advantage, encouraging investments from hyperscalers in local data centers to enhance the digital economy and industry prospects.

This IDC report examines Asia Pacific governments' investments in sovereign and industry clouds using survey data. It covers adoption trends, investment plans, challenges, and the providers' landscape, providing insights into providers' strategies and actionable advice for government entities navigating sovereign clouds and digital sovereignty trends.

Highlights of the report include:

  • Government organizations in the Asia Pacific region are increasingly interested in adopting sovereign cloud services, with 17% already utilizing them and a third planning to do so within two years, according to IDC's FERS survey.
  • These agencies perceive benefits in terms of enhanced data security, compliance with data residency regulations, control over infrastructure, and the promotion of transparency.
  • However, they also face significant challenges such as high implementation costs, complexity, security concerns, and potential constraints on innovation.
  • In response, major cloud providers like AWS, Google Cloud, IBM Cloud, Microsoft Azure, and Oracle are expanding their offerings for the sovereign cloud market in the Asia Pacific region.

"Asia/Pacific government organizations are assessing sovereign clouds for data control, security, and regulatory benefits while addressing concerns about security, costs, and reliance on vendors. Successful adoption requires prioritizing investments, classifying data, and aligning trust with organizational goals. Vendors must educate thoroughly and offer practical solutions for effective sovereign cloud implementation," says Ravikant Sharma, Research Director, Government Insights, IDC Asia/Pacific.

Download this complimentary eBook that covers the adoption trends and investment strategies of the Asia/Pacific Governments and provides actionable insights for stakeholders: HERE

For more information on this IDC document, please get in touch with Ravikant Sharma at For media inquiries, please contact Miguel Carreon at or Michael de la Cruz at

*Asia/Pacific including Japan


IDC Government Insights

IDC Government Insights works with Governments throughout the world to digitally transform - to provide better quality services to citizens, while improving the efficiency, effectiveness, and delivery of government programs and services. Its global team of analysts with decades of industry experience, advise central and local governments how to make the delivery of government services more efficient, effective, and engaged. For more information, please visit or email

About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,300 analysts worldwide, IDC offers global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. IDC's analysis and insight helps IT professionals, business executives, and the investment community to make fact-based technology decisions and to achieve their key business objectives. Founded in 1964, IDC is a wholly-owned subsidiary of International Data Group (IDG), the world's leading tech media, data and marketing services company. To learn more about IDC, please visit Follow IDC on Twitter at @IDCAP and LinkedIn. Subscribe to the IDC Blog for industry news and insights.