Kiteworks' 2026 Data Security and Compliance Risk Report reveals 61% of organizations lack evidence-quality audit trails, and 57% lack centralized data gateways, hindering compliance with data sovereignty laws. The research indicates a significant visibility crisis as only 36% know where their data is processed. AI adoption exacerbates the issue, with 63% unable to enforce purpose limitations on AI systems. Third-party relationships further complicate data tracking, with many organizations lacking incident response practices. Effective governance correlates with board engagement, highlighting the need for centralized data management to meet regulatory expectations.
