
When workloads move, identity management, encryption keys, and audit trails tied to the old provider don’t transfer seamlessly, forcing CIOs to rebuild governance frameworks to meet regulatory requirements in the new environment, Hinchcliffe added.
In contrast, Sovereign Core is trying to offer more control to CIOs by allowing them to keep encryption keys, identity management, and operational authority within their jurisdiction, which should enable them to switch providers without rebuilding governance frameworks, Hinchcliffe pointed out.
Seconding Hinchcliffe, HyperFRAME Research’s leader of AI stack Stephanie Walter noted that the frequency and stringency of regulator-driven audits were increasing, specifically the EU: Regulators are no longer satisfied with promises of compliance but are seeking more evidence, audit trails, and continuous compliance reporting.
Sovereign Core, according to Hinchcliffe, could also help CIOs tackle these demands with automated evidence collection and continuous monitoring, reducing overhead for banks, government agencies, and defense-adjacent industries.
Boost for moving sovereign AI pilots to production
Analysts say Sovereign Core could help CIOs and their enterprises push their AI pilots into production, especially the ones that require strict data residency and compliance controls.
Most enterprises and organizations are hesitant to send proprietary data to a public AI model, and at the same can’t run GPU-backed inference completely inside their own sovereign boundary, said Phil Fersht, CEO of HFS Research.





















