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Architecting for data localization: classify first, then design storage
Some markets require certain data to be stored and processed locally, which directly reshapes your deployment and data-flow architecture.
Some markets impose localization on certain data categories, affecting not just where data is stored but where it's processed and how it flows across borders. Sending everything back for centralized processing may conflict with localization rules.
The crucial first step is data classification: which data is bound by localization, which may cross borders, and by what mechanism. Without clear classification, the architecture can't be designed.
The pragmatic approach is regional deployment by data category and market, local processing or compliant transfer for restricted data, and kept transfer mechanisms and records.