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Gulf enterprises are pulling their data back from the public cloud

KniTT, a partner within Dubai’s SEED Group, just launched Elysium, a private cloud platform built around a concern that’s been quietly growing across the Gulf: what happens to a company’s data if the infrastructure holding it becomes a target, or simply sits under someone else’s control.

The launch comes as regional geopolitical tension pushes more enterprises toward hybrid and private cloud setups instead of relying solely on the big public hyperscalers. Praveen Raveendran, KniTT’s founder and CEO, put the underlying issue plainly: when your data sits on infrastructure you don’t control, your sovereignty becomes negotiable rather than guaranteed. That’s a real shift from how most companies thought about cloud computing even five years ago, when speed and scale mattered more than who actually held the keys.

The numbers back up the trend. Gartner estimates that companies worldwide are now repatriating 20% of cloud workloads, essentially moving them back under local or national control. In the UAE and Saudi Arabia specifically, sovereign cloud projects already add up to more than $6 billion, and KniTT projects they could eventually unlock over $200 billion in broader economic value.

The economics here are hard to ignore. Saudi Arabia’s digital economy already accounts for 15.6% of its GDP, with the ICT sector alone generating more than $63 billion. The UAE sits around 12% today and has set its sights on 19.4% by 2031, a target worth roughly $140 billion. Sovereign cloud infrastructure exists to fuel that growth directly, not watch from the sidelines.

What Elysium actually does differently is meet companies where their data already lives, sparing them a forced migration to third-party infrastructure before anything else can happen. Alan Adams, KniTT’s SVP of Products and Platforms, argued that the next phase of cloud computing will not hinge on where servers physically sit, but on who holds control over them. The platform runs on Zero-Trust architecture, pairs hyperscale-level performance with dedicated infrastructure, and KniTT says it can trim total cost of ownership by at least 30% compared to conventional cloud setups.

Whether Elysium gains real traction will likely depend on how many enterprises decide the tradeoff is worth it: giving up some of the convenience of public cloud in exchange for keeping their data closer to home.

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