Location is only the first layer
A data center in the Netherlands or Europe feels good, but it doesn't actually say anything about true sovereignty. If the provider is subject to US law, the Cloud Act applies and the data is immediately accessible, regardless of where the servers are located. But even the right jurisdiction isn't the whole story. Ultimately, sovereignty revolves around three questions:
1. Who holds the keys?
Who can access your data? Who manages the encryption keys and who has administrative rights to the environment? If the data is encrypted but the key is held by a party subject to foreign law, the encryption is merely a formality.
2. What law is the owner subject to?
It is not just about the party you have a contract with. The parent company, subcontractors, and the technology supply chain all count. The European frameworks therefore explicitly look through the entire chain.
3. Can you keep running if a service goes down?
This is the question most often skipped. Who can pull the plug? Think of a blocked account, a changed license, sanctions, or a large-scale outage. Sovereignty also means that your data is recoverable: an independent, immutable copy in a location that you control yourself.
Not everything needs to be at the maximum level
Sovereignty comes at a price, and not every workload requires it. A marketing tool or a test environment can perfectly well run in a different cloud. Business-critical applications, personal data, and the processes that customers and citizens rely on are a different story. The real question is: which part of your organization must remain under your control? And you determine that per workload, not by selecting a single provider.
Since August 15, 2026, this is no longer an optional choice for many Dutch organizations, but a requirement. The Cybersecurity Act, the Dutch implementation of NIS2, demands risk management, insight into suppliers, and demonstrable continuity. Cybersecurity has thus become a board-level responsibility. If you don't know your dependencies, you cannot account for them.