A cloud service provider is used to perform analytics on an organization's sensitive data. A data leakage incident occurs in the service provider's network. From a regulatory perspective, the organization is responsible for the data breach. This is because the organization is the data owner and has the ultimate accountability and liability for the security and privacy of its data, regardless of where it is stored or processed. The organization cannot transfer or delegate its responsibility to the service provider, even if there is a contractual agreement or service level agreement that specifies the security obligations of the service provider. The other options are not correct, because they either imply that the service provider is responsible (A), or that the responsibility depends on the nature of breach (B) or specific regulatory requirements C, which are not relevant factors.