A model that opens the slightest gap for a leak would be unacceptable to the org I work for. We are very paranoid about losing vulnerable customers' data.
Anthropic has all the answers for that. You’ll go through some compliance exercises and classify them as a subprocessor of highest tier of data sensitivity.
There are a significant number of extremely large companies that are wholly interested in such a sub-processor. The tier of data sensitivity is irrelevant.
Almost all companies are content to engage with data sub-processors with respect to customer data or some form of PII.
But there are many that will absolutely not let their IP visit or reside on systems they do not control.
This is absolutely a deal breaker for a ton of organizations and it's not going to trigger industry wide adoption like other comments here suggest. Instead another provider will offer a more appetizing deal and they will win market share.
Is it possible that Anthropic is fully aware of this, and will either negotiate special contracts with these clients on a case by case basis, or has determined that they don't make enough money by supporting them that they should care about alienating them? I'm sure there will be Oracle and SAP AI and IBM products for those specific customers, if there aren't already. Perhaps Anthropic simply doesn't need them.
Except they are an American corpo and there is no guarantee that the data will stay on EU servers, so that is a giant NO at the moment. This was the main reason to stick with Bedrock, as it supposedly stays within your aws account on the EU servers. Now? Whats the points in using Bedrock anymore apart from paying more.