Legal requirements that data must be stored and processed within specific geographic boundaries, typically based on where users are located. Like laws requiring certain documents to stay within a country's borders.
A healthcare app serving EU customers must store patient data in European data centers to comply with GDPR data sovereignty requirements.
Data sovereignty is not a single cloud service; it’s achieved by choosing in-country/approved regions and enforcing location and access controls with governance policies. Each provider offers regional deployment plus policy/governance tooling to restrict where resources run and how data is accessed.