A multi-instance strategy is often adopted due to concerns about data security, regulatory compliance, and data sovereignty.
•Sensitive internal service provider data (B): Multi-instance architectures provide a separate database for each user interaction, which significantly reduces the risk of attacks and ensures data isolation1. This is crucial for service providers who handle sensitive data and require strict data control and privacy.
•Highly regulated industries ©: Industries such as finance, healthcare, and government are subject to stringent regulations. Multi-instance infrastructures offer on-premise-level security and allow for greater flexibility and control, which is necessary to comply with industry-specific regulations1.
•Data residency (D): Data residency refers to the physical or geographical location of an organization’s data. Due to various national laws and regulations, organizations may need to ensure that their data is stored and processed within specific jurisdictions. Multi-instance infrastructures support this requirement by providing dedicated databases that can be located as per the data residency needs1.
Centralized reporting (A) and domain separation licensing cost (E) are not typically concerns that lead to a multi-instance strategy. Centralized reporting can be achieved within both multi-instance and multi-tenant environments, and domain separation licensing cost is a factor related to the ServiceNow platform’s domain separation feature, which is different from the infrastructure considerations of multi-instance versus multi-tenant setups234.