Monday, 28 September 2026

Where technology leaders come to think out loud

The BriefInfrastructure & Telecoms

UK IT leaders want out of US clouds but only 15% have moved, Civo finds

Civo’s own survey of 1,000 UK IT leaders shows 73% call sovereignty a strategic priority and 28% expect to lean harder on the hyperscalers anyway. A panel at the vendor’s London event blamed inertia and the pull of AI

The facts
  • 73% of respondents call data sovereignty a strategic priority, up 12 points from 61% in Civo’s 2025 survey.
  • 28% expect to deepen their reliance on US hyperscalers, up from 12% a year earlier.
  • 39% suffered an outage originating with a US hyperscaler in the year before the survey and 15% suffered several.
  • Among those hit by outages, 40% put their exposure above £50,000 and 5% above £1m.
  • Only 35% say they have full clarity on where their data is located and governed.
What it means for partners

For UK sovereign-cloud and hosting partners the pitch writes itself, and that is the problem: 66% intent has produced 15% action. Buyers are held by egress fees, proprietary application programming interfaces (APIs) and AI services only the hyperscalers offer, so a sovereignty story without a migration plan, a compute price and an answer on AI tooling loses to inertia. The nearer margin is in the outage figures: resilience, exit planning and data-location audits sell now, and hyperscaler partners should price in a UK-hosted option before a domestic rival does.

“UK leaders clearly want to break free from Big Tech dependency, but find themselves trapped by an ever-tightening web.”Mark Boost, chief executive, Civo

Two-thirds (66%) of UK IT leaders would consider switching cloud provider, but only 15% have moved workloads to a domestic alternative, according to Civo’s survey of 1,000 UK IT leaders, released in June. The research is Civo’s own: the UK cloud provider commissioned it for the 2026 edition of its white paper, The Digital Sovereignty Revolution, and neither the release nor the report names the firm that ran the fieldwork.

Civo sells sovereign cloud against the US hyperscalers, and on 22 September announced the first of 40 planned UK edge data centers, so it has a stake in the answer. Its numbers still describe a market that has decided and not acted: three-quarters of respondents doubt they could exit a major US provider, and 43% cite high compute costs as a primary barrier to domestic alternatives. The report calls the running cost of staying put a ‘sovereignty tax’, while conceding the term is not an official one.

Inertia and the pull of AI

That gap was the subject of a panel at Civo Navigate London on 22 September, as reported by Diginomica. Dan Chester, global director at Vast Data, compared enterprises to an oil tanker and said it is “very difficult for enterprises to pivot back suddenly”. Paul Drayson, chairman of Locai Labs and a former science and defense minister, called sovereignty the country’s most pressing political issue, but acknowledged that rising AI performance makes it harder to act on. Richard Woodfield, head of solution services at DataVita, said firms yet to migrate should safeguard what they can, and Ed Barker, founder of advisory firm Havishams, urged IT leaders to frame sovereignty as business risk.

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