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What is External Key Management?

External Key Management is an approach where organizations generate, store, and manage encryption keys outside of cloud infrastructure, while using those keys to protect data in cloud services. This approach can address key sovereignty requirements for organizations that need greater control over cryptographic material for data sovereignty and compliance in regulated sectors.

Azure Key Vault Managed HSM provides key sovereignty by giving customers full control of cryptographic keys through FIPS 140-3 Level 3 validated security, single-tenant isolation, and customer-controlled security domains. This approach delivers strong sovereignty guarantees while maintaining Azure's service-level agreements and eliminating the operational overhead of managing physical HSM infrastructure. For more information about Sovereign Public Cloud capabilities, see Capabilities of Sovereign Public Cloud.

For information about Azure's key management solutions and how they address sovereignty requirements, see:

See also