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Data Sovereignty for SMEs

Digital transformation is a reality in small and medium-sized enterprises, but it is often incomplete. According to Bitkom, 77 percent of companies have a digitalization strategy, but only 19 percent implement it consistently—mainly due to a lack of data sovereignty.
Robert Schuhmann, FIS-ASP
January 12, 2026
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This text has been automatically translated from German to English.

Data has long been more than just a technical by-product. It forms the basis for processes, innovation, and competition. Medium-sized companies, which are often family-run and regionally based, therefore place particular emphasis on control and independence. At the same time, external pressure is increasing: cyber threats are on the rise, regulatory requirements are becoming stricter, and a lack of skilled personnel is making it difficult to operate complex IT landscapes securely.

Pain points of IT decision-makers

Comprehensive analyses of medium-sized companies in recent years clearly show the challenges currently facing IT decision-makers. Many companies still work with legacy system landscapes, the modernization of which is perceived as risky and cost-intensive. Added to this is economic uncertainty: at first glance, external IT services often seem too expensive, while their actual benefits appear difficult to measure.

The desire for autonomy and flexibility is also particularly pronounced among small and medium-sized enterprises. The majority of companies fear that outsourcing will cause them to lose control over their data or make them too dependent on a service provider. At the same time, the ongoing shortage of skilled workers is exacerbating the situation:

According to the DIHK, more than 60 percent of companies struggle to find qualified specialists, which delays projects and overloads internal teams. In addition, the threat of cyberattacks, which have long been perceived as an existential risk, is growing. As a result, IT managers are constantly caught between the conflicting priorities of cost, security, and pressure to innovate—a dilemma that is almost impossible to resolve without reliable partners.

Approaches to sovereignty

How can companies resolve this dilemma? The key is to choose solutions that enable technological modernization without relinquishing control. These include hybrid cloud models that gradually integrate legacy systems, as well as certified data centers in Germany or Europe that offer legal certainty.

Another approach involves the targeted outsourcing of individual areas. In SAP operations and cybersecurity in particular, specialized providers can offer expertise that is difficult to find internally.
It is important that such partnerships are structured transparently, with clear service agreements and comprehensible rules on data sovereignty. This creates trust—the key currency when it comes to IT in small and medium-sized businesses.

Companies such as FIS-ASP specialize in these requirements. They combine hosting and cloud services with managed security, application delivery, AI solutions, and consulting services for hybrid scenarios.

The focus is always on ensuring that data remains in certified data centers in Germany and that all services are GDPR-compliant. FIS-ASP is thus an example of how IT service providers can bridge the gap between modern technology and the need for autonomy. The central promise: technical excellence with verifiable compliance and full data sovereignty in Germany.

Control over data—throughout its entire life cycle—is no longer a marginal issue, but a key success factor for small and medium-sized enterprises. It is crucial to know at all times where data is located, who has access to it, and how it is processed. This is the only way to prevent business-critical information from ending up in opaque structures or even in a „black box“ whose mechanisms are beyond your control.

This control not only creates security and trust, but also forms the basis for sustainable action. Companies that manage their data confidently can reliably meet regulatory requirements, drive innovation in a targeted manner, and respond flexibly to market changes. External partners can provide support in this regard—provided they act transparently and respect the cultural and organizational characteristics of small and medium-sized enterprises.

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Robert Schuhmann, FIS-ASP

Robert Schuhmann is Managing Director at FIS-ASP, a data center provider within the FIS Group with a focus on SAP users.


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