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Data Localization is the act of storing data on any device that is physically present within the borders of a specific country where the data was generated. Free flow of digital data, especially data which could impact government operations or operations in a region, is restricted by some governments. Many attempt to protect and promote security across borders, and therefore encourage data localization.

While some arguments support data localization, some feel that misguided policies on data localization could cause serious harmful consequences to citizens and economies alike.

Source: https://www.techopedia.com/definition/32506/data-localization