Proximity Is Not Compliance: The Regulatory Trap Hidden Inside Asia-Pacific Colocation Decisions
US companies deploying servers in Asian data centers often assume physical proximity satisfies data residency requirements—a costly misreading of the regulatory landscape. The gap between where data lives and where regulators say it must live has triggered audits, fines, and architectural overhauls across the Asia-Pacific region. This piece examines how colocation decisions made for performance reasons routinely create compliance liabilities that surface months or years later.