IBM launches new sovereign AI-ready software to address digital sovereignty demands

IBM has introduced a new software platform designed to help organisations respond to growing digital sovereignty requirements as artificial intelligence adoption accelerates across regulated sectors. The company announced IBM Sovereign Core, positioning it as the first AI-ready, sovereign-enabled software offering aimed at enterprises, governments and service providers seeking full operational control over their technology environments.

The launch comes as regulatory pressure increases worldwide, particularly around data governance, auditability and jurisdictional control. Organisations deploying AI workloads are facing heightened scrutiny over where data resides, who operates the infrastructure, and how models are governed. These concerns are no longer limited to public sector entities but are increasingly relevant to large enterprises operating across borders.

Digital sovereignty, as outlined by IBM, extends beyond data residency alone. It includes control over infrastructure operations, access management, workload execution and the legal jurisdiction under which AI models are deployed. Many organisations, however, lack modern platforms that allow them to modernise or re-host applications under sovereign conditions while maintaining continuous compliance reporting. Industry forecasts cited by IBM suggest that more than 75 percent of enterprises are expected to adopt a digital sovereignty strategy by 2030, reflecting how central these considerations have become to long-term IT planning.

In the ASEAN region, the challenge is particularly acute as governments and businesses push to scale AI adoption while navigating fragmented regulatory frameworks. Catherine Lian, General Manager and Technology Leader for IBM ASEAN, said organisations in the region are seeking greater control over sensitive data and AI workloads. She noted that IBM Sovereign Core is intended to allow clients to advance AI initiatives while maintaining compliance and operational autonomy, supporting trusted AI adoption and retaining economic value within local markets.

Sovereignty built directly into the software layer

IBM Sovereign Core is positioned as purpose-built software that embeds sovereignty directly into its architecture rather than layering controls onto existing cloud platforms. Built on Red Hat’s open-source foundation, the software is designed to support cloud-native and AI workloads under an organisation’s own authority, within chosen jurisdictions, and without reliance on external operators.

A key feature of the platform is a customer-operated control plane, which allows organisations to retain direct authority over deployment decisions, system configurations and day-to-day operations. This model is intended to remove dependence on vendors operating outside the relevant jurisdiction, addressing a common concern among regulators and public sector bodies.

The platform also keeps identity management, authentication, authorisation and encryption keys fully within jurisdictional boundaries. According to IBM, all access management remains under customer control, reducing exposure to cross-border data risks. Continuous compliance reporting is another core element, with operational data, system telemetry and audit trails generated and stored within the sovereign environment to support ongoing regulatory assurance.

AI workloads are addressed through governed inference capabilities. Model deployment, hosting, local GPU clusters and inference execution are designed to operate under local governance frameworks, with traceability and oversight built into the system. This approach aims to allow organisations to deploy AI models without exporting data or inference processes to external providers, a concern that has slowed AI adoption in highly regulated industries.

Industry observers have noted that sovereignty discussions have often focused too narrowly on data location. Sanjeev Mohan, Principal at SanjMo, said the more difficult question is who controls the system and whether that control can be demonstrated to regulators. He described IBM Sovereign Core as taking a broader approach that spans data, operations, technology and assurance, supported by continuous monitoring. Erik Fish, Director of Geotechnology at Eurasia Group, added that AI is accelerating the shift from theoretical sovereignty debates to operational realities, as geopolitics, regulation and data governance increasingly intersect.

Flexible deployment and service provider partnerships

IBM Sovereign Core is designed to be deployed across multiple environments, including on-premises data centres, supported in-region cloud infrastructure, or through IT service providers. This flexibility is intended to support organisations with varying risk profiles, regulatory obligations and existing infrastructure investments.

The company has begun collaborating with IT service providers to support local deployment and operations, starting with an initial rollout in Europe. Partners include Cegeka, operating in Belgium and the Netherlands, and Computacenter in Germany. Through these partnerships, IBM aims to enable service providers to offer sovereign services that meet local compliance standards while supporting AI-scale workloads for enterprise clients.

Gaetan Willems, Vice President of Cloud and Digital Platforms at Cegeka, said demand is growing for platforms that allow sensitive data to remain within controlled and compliant boundaries. He noted that offering a pre-architected solution within in-country environments enables faster delivery of enterprise-ready software while addressing local regulatory requirements.

Computacenter highlighted similar benefits, with Unit Director Cloud Christian Schreiner stating that the platform allows teams to focus on configuring software for specific client use cases rather than assembling and validating disparate components. This, he said, could significantly reduce time-to-value and enable AI adoption for organisations that previously faced regulatory or operational barriers.

IBM said the new offering aligns with its broader hybrid cloud and AI strategy, which spans more than 175 countries and serves clients across critical infrastructure sectors such as financial services, telecommunications and healthcare. The company continues to position open, flexible architectures and a strong emphasis on trust, transparency and responsibility as central to its approach to enterprise AI and cloud transformation.