The Marshall Islands has seen a notable shift towards cloud repatriation in 2026, with 12 projects completed this year. This trend reflects increased concerns over data sovereignty, security, and rising costs associated with international cloud providers. Local businesses are investing heavily in expanding their data center infrastructure, which now totals USD 8 million, to support in-house cloud solutions.
Despite the growth in local data infrastructure, the cloud services market continues to grow at 4.5% annually, driven by digital transformation efforts. Smaller firms are particularly inclined to bring cloud operations back on-premise, aiming for better control and cost efficiency. Overall, the trend signifies a strategic move towards digital independence within the country.