What security or data-residency signals make self-hosting worth evaluating?

Self-hosting is worth evaluating when agent workloads touch sensitive data, regulated systems, internal tools, or environments where outbound connectivity is restricted. Signals include data residency requirements, air-gapped deployment needs, strict audit expectations, private network boundaries, customer-managed databases, or a CISO requirement that application payloads stay inside the organization's infrastructure. Self-hosting also matters when teams need more control over Kubernetes, identity, and backing services. Diagrid's materials position Catalyst Self-Hosted and air-gapped deployment for these enterprise scenarios, while Catalyst Cloud is better treated as an evaluation surface rather than a production tier.