Why is everyone talking about the cloud?

What is the difference between a public cloud, a sovereign cloud, and a national cloud?

Public cloud

This is the type of cloud that most people are familiar with. Think Microsoft Azure, AWS, and Google Cloud. Here, data from multiple customers is processed over the internet on a shared infrastructure. This means that resources are shared, but it also allows you to scale up or down quickly and cost-effectively. In other words, it’s flexible, but you have less control over where your data goes.

Sovereign Cloud

"Sovereign cloud" is a term that has become increasingly popular in recent times. Simply put, it refers to a cloud service that is owned, operated, and managed domestically. This means that a Swedish sovereign cloud service is located on Swedish soil and complies with Swedish regulations. Our data is therefore protected by local security and privacy requirements.

The downside? It costs more and offers less flexibility.

NOTE: Just to add to the confusion, Microsoft recently launched its own Microsoft Sovereign Cloud. It’s not a sovereign cloud, but a service that lets you use Microsoft’s technology in your own data center.

National cloud

You might be scratching your head right now. If "Suveränt Moln" is a national cloud service, then what exactly is a national cloud?

The term "national cloud" can mean different things depending on who you ask. In Sweden, the term is used…

… as a synonym for sovereign cloud—a cloud service that is owned, operated, and managed domestically.

… regarding cloud services owned by a Swedish company but located in another country.

… regarding cloud services located in Sweden but not owned by a Norwegian company, such as Microsoft Azure.

It is therefore important to understand the context in which the term is used. The fact that a data center is located in Sweden does not mean that it is under national control. This means that a cloud service owned by an American company but located on Swedish soil is still subject to U.S. law.

Why is it important to know what type of cloud your data is stored in?

U.S. companies, such as Microsoft, are subject to the CLOUD Act, which gives authorities the right to access data—regardless of where in the world it is stored. It is therefore not enough for the solution to be “located in Sweden” if the provider is American.

Uncertainty surrounding U.S. cloud services

Almost all Swedish companies use cloud services like Microsoft 365 or Google to keep their day-to-day operations running smoothly. If you’re looking to replace them, there are few truly good alternatives on the market. The ones that do exist are often …

Other U.S. companies
Smaller players that cannot compete in terms of functionality
Inferior IT security solutions
In-house systems that require significant investment and customization

What should an SMB do in light of today's news?

We apologize for the somewhat frustrating response, but …

It's up to you.

However, we recommend that all companies stay on top of things and be prepared in case something happens. The benefits of using Microsoft’s services remain significant. A wide range of services within the same environment and a rapid pace of innovation and development, to name a few.

The best thing you can do is start by identifying which services you use and what is critical to your business’s day-to-day operations. This will also put you fully in line with recommendations from Swedish authorities, which emphasize that assessing risks and evaluating alternative suppliers is crucial to being prepared.