Cloud faces some key challenges in 2026 - we spoke to these experts to find out what's next (www.techradar.com)

Cloud computing is set to undergo significant changes by 2026, driven by the increasing integration of AI technologies and a growing emphasis on data sovereignty. Experts predict over $1 trillion will be invested in data center construction by 2030, yet there’s a corresponding shift towards localized, sovereign cloud solutions. This shift is fueled by security concerns stemming from high-profile outages in 2025, which highlighted the risks associated with relying solely on large hyperscale providers. As businesses recognize the operational risks of non-sovereign cloud solutions, there’s a movement towards building portable, cloud-native systems that facilitate easier app migration and cost optimization. The relationship between AI demand and cloud resources is intensifying, particularly with the rise of Large Language Models that require extensive data and computing power. While the AI hype seems at its peak, industry leaders caution that as excitement wanes, organizations will need to assess realistic infrastructure needs for AI applications. This evolving landscape underscores the importance of specialized, inference-optimized storage, especially as energy demands grow. Policymakers are urged to expand energy grids to support these ambitions, but potential public opposition could pose challenges to future developments. Overall, the trend indicates a decisive pivot towards more localized and controlled cloud environments in response to security, energy, and operational efficiency concerns.