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Discussion on: AI Infrastructure Cloud Setup: Practical Choices That Scale

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jan_janssen_0ab6e13d9eabf profile image
Jan

On-prem is still the only sane option for regulated industries. Clouds change APIs every year.

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alifar profile image
Ali Farhat

On-prem makes sense for some, but it’s not always realistic. Hardware refresh, cooling, and ops staff add up fast. For many, a private cloud setup with strict networking and customer-managed keys achieves compliance without owning racks.

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jan_janssen_0ab6e13d9eabf profile image
Jan

I get that, but regulators don’t care about “customer-managed keys” if the infrastructure is still outside your control. Once auditors step in, they’ll push for physical data residency. How do you convince them a GPU cloud is compliant?

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alifar profile image
Ali Farhat

That’s exactly where governance comes in. You need documented controls: where data is stored, how it’s encrypted, who has access, and how logs prove that. In practice, we’ve seen regulators accept GPU cloud setups if workloads run in-region, data never leaves the VPC, and compliance frameworks (ISO, SOC, GDPR) are mapped. It’s not trivial, but it’s possible with the right architecture.