What is data localization?

Data localization: why it has become a priority for businesses and public institutions?
In today’s world, data has become one of the most valuable assets, and its storage and management require not only security but also speed, control, and compliance with international standards. This is where the concept of data localization comes into play.

What is data localization?

Data localization is a policy or technical approach that requires data to be stored and processed within the same region where it was collected. This may be driven by legal regulations, business strategy, or security considerations, depending on the industry.

Key benefits of localization

Compliance with regulations

Many countries have laws requiring personal, financial, or governmental data to be stored within national borders. Localization helps businesses avoid legal risks and comply with regulatory frameworks.

Faster access to data through lower latency

Latency refers to the delay in data transmission — the time it takes for data to travel from the user to the server and back.
When data is stored on foreign servers, the route becomes longer, passing through international networks and nodes, which increases latency.
With localization, data is stored in a data center physically closer to the user, shortening the path. As a result:

• Websites and applications load faster

• Data access and exchange are smoother

• The user experience significantly improves

Greater control and transparency

With localized data, organizations have clear knowledge of where the data is stored, how it is protected, and who has access to it.

High level of protection

Data localization is often implemented in data centers that hold internationally recognized security

• PCI DSS – payment data protection

• TIER III – high reliability and availability

·   ISO 27001 / 27017 / 27018 - cloud data security

These certifications may apply to both local and foreign data centers. However, in the case of localization, certified infrastructure provides not only technical security, but also legal oversight, lower latency, and physical accessibility — all of which are valuable advantages across many sectors.

Such data centers are equipped with backup power systems (UPS, generators), cooling and fire suppression systems, and 24/7 physical access control.

Conclusion
Data localization is no longer just a technical solution — it is a foundation for trust, performance, and global compliance.

By localizing data, organizations can:

• Ensure reliable data storage

• Accelerate digital processes

• Reduce network risks and latency

• Gain full control over their data