Companies must clearly define their share of value creation and decide which capabilities to build in-house and which to source externally. At the same time, the associated risks need to be actively managed. A classic example of this approach can be found in the automotive industry. This logic can be directly applied to digitalization.
Today, data and digital systems are no longer just supporting elements but a central part of value creation. As a result, digital sovereignty is becoming increasingly important for both companies and public sector organizations.
Geopolitical developments in recent years have intensified existing dependencies in Europe. According to the Euro Stack Report, more than 80 percent of digital infrastructure and technologies are imported. With the rapid progress in artificial intelligence, there is a risk that these dependencies will continue to grow.
What does digital sovereignty mean?
Digital sovereignty describes the ability of organizations to maintain control over their digital systems, data, and dependencies. At its core, five key criteria can be identified:
• Data residency: Data is processed and stored within the European Economic Area.
• Access control: Operator access is strictly limited, transparent, and auditable.
• Resilience: Systems remain stable and available even in critical situations.
• Independence: Architectures avoid lock-in effects, for example through the use of open-source technologies.
• Legal framework: Partners and operators act within the European legal framework.
Digital sovereignty as a political responsibility
Strengthening digital sovereignty is a key political task. Procurement and sourcing guidelines can actively promote European technologies. Approaches such as “Buy European” do not distort competition but rather align with frameworks that have long been established in other markets.
Digital sovereignty as a business decision
From a business perspective, digital sovereignty means making conscious technology decisions and assessing the degree of dependency. In addition to cost and innovation capabilities, long-term control over systems and data must be considered.
The objective is not to eliminate external providers entirely, but to consciously manage dependencies and gradually increase the level of sovereignty.
A pragmatic approach instead of complex frameworks
The EU provides a Cloud Sovereignty Framework to assess sovereignty levels. In practice, however, it often proves to be complex and difficult to apply. A clear focus on the core criteria is usually more practical and easier to integrate into decision-making processes.
Practical implementation at Liongate
Liongate has been developing and operating secure cloud solutions with a strong focus on digital sovereignty for over ten years. For customers, this means:
• Use of open-source components where appropriate and economically viable
• Development of zero-trust architectures for maximum control
• Implementation of hybrid and multi-cloud strategies to reduce dependencies
• Use of hyperscalers such as AWS or Stackit based on specific requirements
Technology decisions are not driven by ideology but by the specific requirements of each system and process.
Implementing digital sovereignty internally
Digital sovereignty is not only delivered to customers but also practiced internally at Liongate. While following a cloud-first strategy, specific areas are deliberately designed for maximum independence:
• Own identity and access management without external dependencies
• Own cloud infrastructure based on Nextcloud
• Operation of an own mail server
• In-house developed ERP system for core business processes
These decisions may involve trade-offs in user experience but ensure a high level of control, flexibility, and long-term independence.
Digital sovereignty as a continuous process
Digital sovereignty is not a static state but an ongoing process. Organizations should regularly reassess their dependencies and continuously evolve their architecture.
The key is not complete autonomy, but the ability to make informed decisions and remain in control at all times.
