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A U.S.-based cloud-hosting provider wants to expand its data centers to new international locations. Which of the following should the hosting provider consider first?
Correct Answer: A
Local data protection regulations are the first thing that a cloud-hosting provider should consider before expanding its data centers to new international locations. Data protection regulations are laws or standards that govern how personal or sensitive data is collected, stored, processed, and transferred across borders. Different countries or regions may have different data protection regulations, such as the General Data Protection Regulation (GDPR) in the European Union, the Personal Information Protection and Electronic Documents Act (PIPEDA) in Canada, or the California Consumer Privacy Act (CCPA) in the United States. A cloud-hosting provider must comply with the local data protection regulations of the countries or regions where it operates or serves customers, or else it may face legal penalties, fines, or reputational damage. Therefore, a cloud-hosting provider should research and understand the local data protection regulations of the new international locations before expanding its data centers there.