Tech

Enterprises pivot to AI sovereignty as data control concerns mount

A growing movement away from third-party cloud models is reshaping corporate strategy, driven by fears of intellectual property loss and the rise of agentic AI systems.

Author
Mara Ellison
Science and Space Editor
Published
Draft
Source: MIT Technology Review · original
Establishing AI and data sovereignty in the age of autonomous systems
Survey reveals 70% of global executives view independent platforms as essential for business success

Enterprises are increasingly reevaluating their reliance on third-party cloud models as generative and agentic artificial intelligence become central to business operations. This strategic shift is driven by concerns over losing proprietary data and competitive advantage, with many organisations seeking greater control over their data estates and AI infrastructure.

The initial adoption of generative AI involved a tacit bargain where enterprises fed proprietary data into third-party models in exchange for powerful results. However, this arrangement meant data passed through systems companies did not own or govern, with protections contingent on provider policy updates. As sophisticated agentic AI systems advance, businesses are questioning the durability of these terms.

Kevin Dallas, chief executive of EDB, highlighted the anxiety surrounding this transition. He noted that data has become a new currency and intellectual property for many companies, raising fears that deploying AI-infused applications with cloud-based large language models could compromise competitive positions.

To understand the scale of this shift, EDB conducted a survey of over 2,050 senior executives. The research found that 70% of global leaders believe a sovereign data and AI platform is essential for success. AI sovereignty is defined as breaking dependence on centralized providers to establish genuine control over models and data estates.

This corporate trend aligns with broader policy discussions, including comments by NVIDIA chief executive Jensen Huang at the 2026 World Economic Forum. Huang advocated for national AI infrastructure development, arguing that every country should utilise its language and culture as fundamental natural resources to integrate national intelligence into its ecosystem.

Industry experts describe the movement toward data sovereignty as well underway on the enterprise level. The findings, drawn from the EDB survey and interviews, confirm that reclaiming control over AI systems is becoming an urgent priority for organisations navigating the rapid adoption of autonomous technologies.

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