Cloud Sovereignty, Data Governance, and Institutional Trust: Comparative InformationSystems Transformation in the European Union and Australia, 2020–2026

Abstract

This article examines cloud sovereignty and data governance as central challenges of contemporary
information systems transformation through a comparative analysis of the European Union and Australia
between 2020 and 2026. The study argues that cloud computing has evolved from an enterprise infrastructure
model into a strategic governance architecture shaping digital sovereignty, cybersecurity, public-sector
modernization, regulatory compliance, and economic resilience. The European Union and Australia were
selected because both are advanced digital economies with extensive cloud adoption, yet they differ in
regulatory philosophy, institutional architecture, market dependency, and sovereignty strategy. The European
Union emphasizes regulatory sovereignty, data protection, interoperability, and trusted cloud ecosystems
through GDPR, the Data Governance Act, the Data Act, and cloud certification initiatives. Australia
emphasizes pragmatic cloud adoption, cybersecurity uplift, sovereign capability, and risk-based public-sector
cloud governance. The findings indicate that cloud governance effectiveness depends on interoperability,
procurement discipline, cybersecurity assurance, data classification, institutional coordination, and public
trust. This article contributes to computing and information sciences by conceptualizing cloud sovereignty as
a socio-technical governance framework linking infrastructure architecture, institutional accountability,
digital innovation, and national resilience.