Microsoft 365 Data Residency Switzerland: Will Your Data Continue to Stay in Switzerland?
Microsoft 365 Data Residency: Will Your Data Continue to Stay in Switzerland?
In September 2026, Microsoft introduced a new setting relating to data residency in Microsoft 365.
For eligible Swiss organisations, this means that it is now important to verify whether Microsoft 365 data should continue to be stored within Switzerland or whether Microsoft may store this data within the EU Data Boundary in future.
The new setting is called:
“Store Microsoft 365 customer data in-country”
Microsoft recommends that administrators of eligible tenants review the selected setting and ensure that it reflects their organisation’s requirements.
Microsoft reference:
What is changing?
Eligible Microsoft 365 tenants can now specify which data residency commitment should apply to the relevant Microsoft 365 core services.
Setting enabled
If “Store Microsoft 365 customer data in-country” is enabled, Microsoft commits to storing the relevant Microsoft 365 customer data at rest within the geography associated with the applicable Microsoft Product Terms.
For an eligible Swiss tenant, this means data residency within Switzerland.
Microsoft reference:
Setting disabled
If the setting is disabled, Microsoft may store the relevant Microsoft 365 core customer data regionally within the EU Data Boundary.
Microsoft reference:
Importantly, this does not automatically mean that the data will be transferred to or stored in the United States.
The EU Data Boundary covers the member states of the European Union as well as the EFTA countries Switzerland, Norway, Iceland and Liechtenstein.
Microsoft reference:
https://learn.microsoft.com/en-us/privacy/eudb/eu-data-boundary-learn
Which Microsoft 365 services are affected?
According to Microsoft, the setting applies to the Microsoft 365 Core Services, including:
- Exchange Online
- SharePoint Online
- OneDrive for Business
- Microsoft Teams
- Microsoft 365 Copilot
- Microsoft 365 Copilot Chat
This means the decision may affect core business data such as emails, calendar information, files, Teams communications and certain Copilot-related data.
More information on Microsoft 365 data locations:
https://learn.microsoft.com/en-us/microsoft-365/enterprise/o365-data-locations?view=o365-worldwide
Which Swiss organisations are affected?
According to Microsoft, the setting is available only to eligible commercial tenants.
Supported standard geographies include, among others:
- Switzerland
- Germany
- France
- Norway
- Sweden
Organisations already using specialised data residency solutions such as Advanced Data Residency, Advanced Data Residency for Education or Multi-Geo generally do not see this setting, as their data residency is already governed by those products.
Microsoft reference:
https://learn.microsoft.com/en-us/microsoft-365/enterprise/m365-dr-data-location?view=o365-worldwide
Why is 14 December 2026 important?
Microsoft made the new setting available for review from 14 September 2026.
During the transition period, the current data location will not automatically change solely because of this new setting.
The selected setting will become effective from 14 December 2026.
If the setting remains disabled, Microsoft may thereafter begin storing the relevant Microsoft 365 core customer data within the EU Data Boundary.
Microsoft reference:
Organisations should therefore review the setting before this date and confirm whether the selected data residency option matches their requirements.
Where can the setting be checked?
The setting can be reviewed in the Microsoft 365 Admin Center.
Microsoft describes the path as follows:
Admin Center → Settings → Org settings → Organization profile → Data location → Commitments
Depending on tenant eligibility, administrators can review information such as:
- the current geography
- the committed geography
- the selected data residency setting
- possible differences between the current and committed location
Microsoft reference:
https://learn.microsoft.com/en-us/microsoft-365/enterprise/m365-dr-data-location?view=o365-worldwide
Does Microsoft 365 data have to remain in Switzerland?
Not necessarily.
Whether data must or should remain exclusively within Switzerland depends on the organisation’s individual requirements, for example:
- internal compliance policies
- contractual obligations
- data protection requirements
- customer or partner requirements
- industry-specific regulations
The EU Data Boundary also provides extensive commitments regarding data storage and processing within EU and EFTA countries. However, this is not the same as a commitment to store data exclusively within Switzerland.
Microsoft reference:
https://learn.microsoft.com/en-us/privacy/eudb/eu-data-boundary-learn
Organisations should therefore make a conscious decision based on their own legal, contractual and operational requirements.
What happens if the setting is changed later?
If an organisation changes the setting, Microsoft updates the associated Committed Geography accordingly.
Because the actual movement of data may take time, the Current Geography displayed in the Microsoft 365 Admin Center may temporarily differ from the Committed Geography.
Microsoft provides further information on this in its documentation for the Data Location Card:
https://learn.microsoft.com/en-us/microsoft-365/enterprise/m365-dr-data-location?view=o365-worldwide
Data residency is only one part of Microsoft 365 security
The location of your data is an important question.
However, data residency alone does not indicate how securely your Microsoft 365 environment is configured.
Organisations should also consider questions such as:
- Is multi-factor authentication configured correctly?
- Are administrator accounts sufficiently protected?
- Are external sharing settings appropriately restricted?
- Are Conditional Access policies in place?
- Is there an independent Microsoft 365 backup?
- What recommendations are shown in Microsoft Secure Score?
The current data residency change can therefore also be a useful opportunity to review the overall security posture of the Microsoft 365 environment.
Leftclick reviews the setting for managed customers
For our managed Microsoft 365 customers, we will proactively review the new data residency setting and coordinate the required next steps directly with the affected organisations.
Our review includes, among other things:
- whether the tenant is affected by the change
- which data residency option is currently configured
- which geography Microsoft assigns to the tenant
- whether the new setting is available and configured correctly
- whether Advanced Data Residency or Multi-Geo is already in use
- whether the current configuration meets the organisation’s requirements
On request, we can also review the Microsoft Secure Score and discuss relevant security recommendations.
Would you like us to review your Microsoft 365 environment now?
You do not need to wait for us to contact you.
If you would like to know where your Microsoft 365 data is currently stored and which setting is configured for your tenant, you can contact us directly.
Leftclick AG
Phone: 061 483 14 14
Email: info@leftclick.ch
We will review your current data residency configuration with you and identify whether any action is required before 14 December 2026.
Sources and Further Information
Microsoft – Overview of Product Terms Data Residency
Official Microsoft documentation covering the new “Store Microsoft 365 customer data in-country” setting and its implications.
Microsoft – Data Location Card
Explanation of how to review data location and committed geography in the Microsoft 365 Admin Center.
https://learn.microsoft.com/en-us/microsoft-365/enterprise/m365-dr-data-location?view=o365-worldwide
Microsoft – Microsoft 365 Data Locations
Overview of data residency and data locations for Microsoft 365 services.
https://learn.microsoft.com/en-us/microsoft-365/enterprise/o365-data-locations?view=o365-worldwide
Microsoft – EU Data Boundary
Microsoft’s explanation of the EU Data Boundary and the countries included within it.
https://learn.microsoft.com/en-us/privacy/eudb/eu-data-boundary-learn
Microsoft – Advanced Data Residency Commitments
Information for organisations with extended data residency requirements.
https://learn.microsoft.com/en-us/microsoft-365/enterprise/m365-dr-commitments?view=o365-worldwide