Companies are increasingly turning to separated cloud architectures to strengthen their AI data governance in response to stricter regulatory requirements and operational challenges. Microsoft offers a private cloud solution that combines Azure Local, Microsoft 365 Local, and Foundry Local. The technology can operate fully connected, intermittently connected, or completely offline.
This allows regulated industries and public sector organizations to run critical infrastructure entirely on-premises while still using familiar Azure management tools and policies. Foundry Local also supports AI workloads in offline mode on modern hardware, enhancing security, resilience, and digital sovereignty.