Cloud technology deployments are maturing as global enterprise digitises and emerging technology such as agentic AI becomes a key priority.
According to PwC’s 2025 EMEA Cloud Business Survey, 80% of organisations reported medium or high cloud maturity in 2025 and 86% of respondents plan to increase their budgets over the next 12 months.
The rise of the sovereign cloud
However, the shape of the cloud is changing. Geopolitical tensions and new regulations are reshaping how data is stored, processed and secured, with many governments mandating localisation and “sovereignty-by-design” models.
As PwC’s report sets out, multinationals are, as a result, complementing global cloud platforms with regional or national solutions. New sovereign cloud platforms will run alongside public cloud deployments, serving specific use cases even if that means compromising on factors such as service range and cost.
Olivera Majdandzic, Partner, Cloud Transformation, PwC France & Maghreb comments: “Digital sovereignty is not just a regulatory requirement; it’s a strategic advantage. For our clients, it means maintaining control over their data while still leveraging the full power of the cloud. Our mission is to design hybrid and sovereign architectures that balance trust, performance and innovation — enabling organisations to navigate complex environments without ever compromising their agility.”
Managing cloud complexity
According to PwC’s research, 94% of organisations plan to adjust their cloud architecture in the year ahead, reflecting a move towards greater flexibility — for example, by adding multi-cloud capabilities or integrating sovereign solutions for specific use cases.
In this model, enterprises may select to migrate sensitive or regulated data to sovereign environments, while keeping other workloads in public or private clouds. Doing so requires integrating sovereign solutions as an additional layer within already complex hybrid, multi-cloud environments.
These challenges underscore the need for unified cloud management and governance to provide visibility, consistency, and control across all platforms. Additionally, the ability to seamlessly port workloads across public, sovereign, and private-cloud environments will be essential as it enables organisations to remain agile in the face of regulatory change. The approach will also help enterprises maintain business continuity, optimise costs and leverage the strengths of each platform, while retaining operational and compliance control.
Moving from compliance to innovation and resilience
As PwC makes clear in its report, the cloud is built for adaptability and is already well primed to meet sovereignty requirements. What’s more, CIOs recognise that their sovereign cloud initiatives can deliver innovation in addition to regulatory compliance.
Sebastian Paas, Partner, EMEA Cloud Transformation Leader, PwC Germany, comments: “The cloud was built for change – and today, that purpose matters more than ever. It empowers organisations to respond to disruption, scale innovation and build the resilience needed to thrive in a shifting landscape.”
By unifying public, private and sovereign clouds, organisations can adapt faster, optimise performance, and access best-in-class services. PwC’s research reveals that just 18% of businesses now rely on a single cloud environment; a model that’s increasingly linked to lower maturity and slower progress in areas such as AI and FinOps. Conversely, four out of five enterprises are using a multi-cloud strategy infrastructure to maximise their innovation potential and source services with the best cost-benefit ratio from each cloud vendor.
A new partnership ecosystem
In this new world, trusted partnerships are emerging as a critical enabler. Hyperscalers are building new sovereign solutions and dedicating resources to local regions. Meanwhile regional and national providers strengthen local trust. As a result, a powerful ecosystem is falling into place where clients benefit from active competition and massive investment — with flexibility, multi-cloud models and new partnership approaches giving them more choice than ever.
To learn more about how enterprises and cloud vendors are adapting in the age of sovereign cloud, download PwC’s 2025 EMEA Cloud Business Survey.
To watch CIO’s webcast with PwC on this topic, click here.
To find out more about Sebastian Paas, click here.
To find out more about Olivera Majdandzic, click here.
Read More from This Article: Cloud sovereignty: squaring compliance with innovation
Source: News