Data Residency

Data residency is where data is physically processed and stored, as distinct from where your company or your users are located. A model API call can route through infrastructure in a different region than the rest of your stack, so the residency question has to be answered per provider, not assumed from your primary hosting region. It matters most once a privacy notice, a customer contract, or a framework like GDPR makes a specific residency commitment — at that point residency stops being an infrastructure detail and becomes something reviewers check against what you actually promised.

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