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Hello Lukáš Krch,
Welcome to the Microsoft Q&A and thank you for posting your questions here.
I understand that you are planning to ensure strict EU data residency when using Cohere Rerank v4.0 via serverless API in Sweden Central.
The key issue is that data residency is not determined by the region (Sweden Central) alone, but by the deployment type (SKU) used in Azure AI Foundry.
- Inference Boundary Data processing for inference is controlled by deployment type:
- Global deployments: processing may occur in any Azure region > NOT EU-compliant
- EU DataZone deployments: processing stays within EU, but not limited to Sweden Central
- Regional (Standard) deployments: processing occurs in the selected region > best for strict compliance - https://learn.microsoft.com/en-us/azure/foundry/foundry-models/concepts/deployment-types, https://learn.microsoft.com/en-us/azure/foundry/responsible-ai/openai/data-privacy
- Global Routing Yes, if using
GlobalStandardor any global deployment, Azure uses dynamic routing, which can process requests outside the EU. This violates strict EU-only requirements. - https://learn.microsoft.com/en-us/azure/foundry/foundry-models/concepts/deployment-types - Data at Rest Customer data (logs, metadata, stored artifacts) remains within the selected Azure geography. However, this does not override global processing behavior for inference. - https://azure.microsoft.com/en-us/explore/global-infrastructure/data-residency/, https://learn.microsoft.com/en-us/azure/foundry/responsible-ai/openai/data-privacy
Therefore, to meet the requirement that no data leaves the EU during the entire lifecycle:
- Do NOT use
GlobalStandardor any Global deployment - Use either:
- EU DataZone deployment (EU-wide processing allowed)
- *Regional Standard deployment in an EU region (preferred if available)
- If Cohere Rerank v4.0 only supports Global deployment in your environment, then it cannot meet the EU-only requirement, and an alternative model/deployment must be used
All the resource links associated are for more reading and steps.
I hope this is helpful! Do not hesitate to let me know if you have any other questions, steps or clarifications.
Please don't forget to close up the thread here by upvoting and accept it as an answer if it is helpful.