Tencent Offers Pragmatic Approach to Sovereign Cloud Based on Risk Management

This IDC Market Note reviews the sovereign cloud developments announced by Tencent Cloud at the 2025 Tencent Global Digital Ecosystem event in Shenzhen. Although the event was dominated by AI advances, Tencent Cloud's focus extends further, with significant emphasis on digital sovereignty through its Tencent Cloud Enterprise (TCE) solution. According to the company, TCE is designed to offer complete isolation and independent deployment within a customer's datacenter, extending public cloud capabilities to private, on-premises environments.IDC's research confirms that compliance, data privacy, and protection against extraterritorial data requests are the top drivers for sovereign cloud adoption for organizations globally. IDC agrees with Tencent Cloud's assessment that sovereign cloud is now a global imperative. We also note that TCE's approach to risk management is pragmatic and generally aligns well with market needs.