IBM India and South Asia Managing Director Sandip Patel has said that growing demands for digital sovereignty reflect the need for businesses and governments to exercise greater control over their data, technology infrastructure and critical systems.
Speaking at IBM’s flagship IBM Think event, Patel highlighted how geopolitical developments and regulatory requirements are changing the way organisations manage digital operations, particularly in highly regulated sectors such as banking.
Why Is Digital Sovereignty Important?
Patel said organisations are entering an era of digital sovereignty in which control over technology infrastructure is becoming increasingly important. Businesses are seeking greater clarity about where their data is stored, who manages encryption keys and whether critical systems remain under their jurisdiction.
These concerns have intensified as governments introduce regulatory requirements and geopolitical developments create uncertainty around international technology operations. According to Patel, organisations need digital sovereignty arrangements that reflect the regulatory environment in which they operate and the importance of their services. The shift is particularly significant for financial institutions and other regulated businesses that must demonstrate continuous compliance while protecting sensitive information.
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How Is IBM Addressing Data Sovereignty?
IBM is developing technology designed to give organisations greater control over their digital infrastructure while allowing them to continue using cloud-based services. Its Sovereign Core software stack, announced in March, is intended to address concerns surrounding data residency, operational control and regulatory compliance. The software can be deployed in data centres owned by customers or their partners, providing cloud-like capabilities while keeping control-plane operations and encryption-key management within the customer’s jurisdiction.
This approach is designed to help organisations retain greater authority over the systems managing their information. It also responds to growing demands from businesses seeking assurance that critical technology operations can remain subject to local regulatory requirements.
What Role Will AI Play?
IBM is also linking its digital sovereignty strategy with the development of artificial intelligence infrastructure in India. Built on Sovereign Core, IBM Bharat Core is an AI stack optimised for Indian requirements, offering reusable AI services, models and connectors across industries.
The platform is designed to help organisations develop AI capabilities while retaining greater control over their technology environments. IBM is also introducing India-specific tools to accelerate Sovereign Core implementation, using its Svaiam reference architecture to support sovereign AI deployment within government environments.
The company is positioning these technologies to support organisations seeking AI infrastructure suited to domestic operational and regulatory requirements.
How Will This Support India’s Technology Infrastructure?
Patel identified two important developments influencing India’s technology landscape: the expansion of domestic technological capabilities to support global operations and the growing interest among Indian enterprises in infrastructure they can control themselves. The shift towards greater control over technology infrastructure is also supporting the country’s data centre growth. Organisations are increasingly evaluating where computing resources are located and how their systems are managed.
IBM’s approach combines locally deployable infrastructure with cloud-like services, allowing businesses to pursue digital transformation while maintaining greater control over sensitive operations. The emphasis is on providing technology environments that can meet business requirements without compromising jurisdictional control.
What Is IBM’s Plan for Indian Startups?
IBM and the Ministry of Electronics and Information Technology (MeitY) Startup Hub are working to accelerate India’s deep-tech startup ecosystem by providing emerging companies with access to technological expertise, mentorship, enterprise engagement opportunities and skilling programmes.
The initiative aims to help startups develop solutions for practical business requirements while strengthening their ability to work with enterprises. Participating startups will gain access to IBM’s enterprise technologies and innovation platforms, including IBM watsonx, an enterprise-ready AI and data platform, and IBM Bob, an AI coding agent for enterprises. The collaboration is intended to support innovation and help startups develop capabilities relevant to India’s expanding technology sector.
The420 Insight
IBM’s emphasis on digital sovereignty reflects a growing focus on who controls critical data, encryption keys and technology infrastructure. For organisations operating under strict regulatory requirements, the location of digital systems and the ability to demonstrate compliance are becoming important operational considerations. IBM’s initiatives also connect this demand with India’s expanding AI infrastructure and deep-tech ecosystem, highlighting how local control and advanced technology adoption are increasingly being pursued together.
About the author — Ayesha Aayat writes on cybercrime, digital safety, and emerging online threats. Her work focuses on public awareness, legal clarity, and technology-driven risks.
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