Tech

Global Data Localization Laws: What IT Leaders Must Prepare for in 2026

Globalization used to be about speed and efficiency. Now it’s about control. Digital sovereignty is the new rule. Companies have to think about where data lives and who can access it. Data localization is simple. It means data has to stay in a certain place. Data sovereignty is about laws and who has legal control. Both matter. Both affect how IT systems are built. By 2026, the world will look different. Cloud systems that used to be global will need regional setups. Companies will have to design compliance into their infrastructure from the start. The EU made this real. The Data Act became applicable on September 12, 2025. It regulates access to data generated in Europe. It encourages sharing but also enforces rules on where data can be stored. Companies…