With the Advanced Data Residency (ADR) feature, Microsoft offers companies the ability to control the location of their Microsoft 365 data in a targeted manner. This option is specifically aimed at organizations with increased compliance or data protection requirements that need to ensure that certain data is stored exclusively in selected regions. This is particularly relevant for internationally active companies, as country-specific requirements for data storage can be reliably implemented in this way.
There is an additional cost associated with using ADR because it is a premium feature. Pricing depends on both the number of users and the desired storage regions. Since the conditions can change regularly, it is advisable to obtain up-to-date information directly from Microsoft or a certified partner.
In addition to ADR, Microsoft 365 provides another way to store data in different geographical regions with the multi-geo configuration. With Multi-Geo, companies can assign specific data regions to specific user groups or locations. For example, Exchange mailboxes, OneDrive or SharePoint data can be stored in the appropriate region for users in Europe, North America or Asia. This enables compliance with complex compliance and data protection requirements and supports companies in implementing country-specific data residency requirements.
Certain license models are required for the use of the Multi-Geo functionality. Typically, a Microsoft 365 E5 license or a compatible E3 license is required in conjunction with the Multi-Geo add-on, also known as an ADR add-on. The exact license terms and additional costs depend on the respective Microsoft 365 environment and the number of regions required. Here, too, it is advisable to ask for current details directly from Microsoft or a certified partner.
Another key feature in the context of data residency is the Preferred Data Location (PDL). This allows each user to specify in which geographical region their data is to be stored primarily. The Preferred Data Location is defined when a user is created or modified in Azure Active Directory and ensures that the user’s data is stored in the desired region – if technically possible. This enables even more precise control, especially for globally active companies with different requirements for data storage.
In summary, Advanced Data Residency, Multi-Geo, and Preferred Data Location provide organizations with flexible ways to customize the storage of their Microsoft 365 data to meet unique compliance requirements and regulatory requirements around the world. The storage location of data can thus be controlled and documented in a targeted manner for different workloads and user groups.