Data residency
The requirement that data be stored and processed within a chosen country or jurisdiction — which decides whether a recording can go to a given cloud region or must stay on local infrastructure.
Data residency is the rule that certain data must physically stay inside a specific country or region. It shows up in privacy law (notably GDPR), in public-sector and financial contracts, and in customer agreements. Because a voice recording of an identifiable person is personal data, where it is transcribed is part of the residency question.
Cloud transcription makes this hard to guarantee: a service may process audio in another region, route it through the US, or rely on sub-processors you cannot see — and a “stored in the EU” claim still needs verifying against where processing actually happens. An on-prem tool makes residency trivial, because the audio never leaves your own infrastructure; an air-gapped deployment is the strongest form of the same guarantee.