Skip to main content
Deployment

Cloud AI Without
Cloud Data Exposure.

Every enterprise faces the same decision: run AI on-premises where data stays safe, or use cloud APIs for the best models. Shield bridges the gap — it runs locally on your machines and strips sensitive data from prompts before they reach ChatGPT, Claude, Copilot, or any cloud AI. You get frontier model quality with on-prem-grade data protection.

See How Shield WorksCompare Deployment Options
Quick Answer

On-prem AI deployment keeps data inside your network perimeter — essential for regulated industries, classified workloads, and strict data sovereignty requirements. Cloud AI APIs give you instant access to frontier models without infrastructure overhead. The trade-off isn't all-or-nothing: a local security gateway like Shield lets your team use cloud AI tools while keeping sensitive data on your machines — giving you cloud convenience with on-prem data protection.

57%
Of organizations cite data privacy as the top barrier to generative AI adoption

The IBM Global AI Adoption Index 2023 surveyed 8,584 IT professionals across 15 countries. Among organizations not yet using generative AI, data privacy concerns (57%) outrank all other barriers — including trust and transparency (43%), implementation skills (35%), and cost concerns. For regulated industries — healthcare, finance, defense, legal — the privacy barrier is even higher.

Source: IBM Global AI Adoption Index 2023
42%
Of large enterprises have AI actively deployed — and adoption is accelerating

The same IBM study found that 42% of enterprise-scale companies (1,000+ employees) are actively deploying AI in their business. Of those, 59% have accelerated their AI rollout in the past two years. But data privacy barriers mean many teams are adopting AI without adequate security controls — creating exposure that grows with every new AI tool.

Source: IBM Global AI Adoption Index 2023
Local-First
Shield keeps sensitive data on your machines — not in the cloud

Shield runs as a local desktop application on macOS, Windows, and Linux. It intercepts AI prompts before they leave your machine, redacts sensitive data (PII, PHI, PCI, secrets, CUI), and only then forwards the clean prompt. The redaction mapping stays on your hardware, inside your network perimeter. Cloud convenience, on-prem data protection.

Shield operates within your network boundary

The deployment model debate misses the real question

Organizations spend months debating on-prem vs cloud — while their employees are already pasting sensitive data into ChatGPT, Claude, and Copilot. The real security question isn't where the model runs. It's whether sensitive data leaves your control. A local security gateway answers that question immediately: sensitive data stays on your machines, regardless of which AI tools your team uses.

Interactive Comparison

On-Prem vs. Cloud AI: Compare by Dimension

Click each tab to compare on-premises and cloud AI deployment across five critical dimensions. See how Shield bridges the gap — giving you the best of both models.

Data Sovereignty

Where does your data live? Who can access it? For regulated industries and government contractors, this is often the single deciding factor.

On-Premises
Data never leaves your physical perimeter
Full control over data at rest and in transit
No third-party access to training data or prompts
Meets strict data residency requirements (GDPR, ITAR, CUI)
Challenges
Requires in-house infrastructure expertise
Scaling compute requires hardware procurement
Maintenance and security patching is your responsibility
Cloud API
No hardware to manage — instant access to frontier models
Elastic scaling without capacity planning
Provider handles infrastructure security
Challenges
Data transits third-party networks
Provider may log prompts for abuse monitoring
Multi-tenant architecture means shared infrastructure
Data residency guarantees vary by provider and region
How Shield Bridges the Gap

Shield runs locally on your machines and redacts sensitive data before it reaches any cloud provider. You get cloud AI convenience — but sensitive information never leaves your network. The redaction mapping stays on your hardware, inside your perimeter.

Compliance

How Shield Maps to Enterprise Security Frameworks

Organizations operating under NIST 800-171, FedRAMP, ITAR, CMMC, SOC 2, or ISO 27001 face specific data protection requirements. Shield's local proxy architecture provides a single technical control that supports compliance across multiple frameworks — reducing the scope of cloud-side controls your auditors need to evaluate.

FrameworkScopeKey RequirementHow Shield Helps
NIST 800-171Protecting Controlled Unclassified Information (CUI) in non-federal systemsOrganizations must implement 110 security controls across 14 families — including access control, audit, and system integrity — for any system that processes, stores, or transmits CUIShield prevents CUI from reaching external AI providers by redacting it locally before transmission. Auditors can verify that CUI never left the authorized system boundary — the audit trail proves what was caught and when.
FedRAMPCloud services used by US federal agenciesCloud providers must undergo rigorous security assessment and receive Authorization to Operate (ATO) at Low, Moderate, or High impact levels; agencies cannot use non-authorized services for federal dataWhen using Shield, federal data that would require a FedRAMP-authorized cloud environment is redacted locally — so the cloud provider never receives it. This reduces the FedRAMP scope to the local machine, not the cloud service.
ITARDefense articles, technical data, and services on the US Munitions List (USML)Export-controlled technical data cannot be transmitted to foreign persons or stored on foreign servers without authorization; cloud providers must certify data residency and access controlsITAR-controlled technical data never leaves your machines — Shield strips it before the request reaches any external server. The cloud provider never receives export-controlled information, eliminating the ITAR compliance burden on the provider side.
CMMCCybersecurity requirements for DoD contractors and subcontractorsThree maturity levels requiring progressively more sophisticated security controls; Level 2 aligns with NIST 800-171; Level 3 adds advanced threat protection; contractors must be certified by a C3PAOShield's local redaction architecture supports CMMC controls in the Access Control (AC), Audit and Accountability (AU), and System and Communications Protection (SC) families. It reduces the attack surface by ensuring CUI never leaves the accredited system boundary.
SOC 2Service organization controls for security, availability, processing integrity, confidentiality, and privacyOrganizations must implement and test controls across the five Trust Services Criteria; annual audit by an independent CPA firm; report shared with customers and prospectsShield's cryptographic audit log supports SOC 2 confidentiality and privacy criteria. Every redaction event is hashed and timestamped — providing tamper-evident proof of data protection for your auditor, without exposing the underlying data.
ISO 27001Information security management system (ISMS) — international standardOrganizations must establish, implement, maintain, and continually improve an ISMS; includes 93 controls in Annex A covering policies, access control, cryptography, and supplier relationshipsShield supports ISO 27001:2022 Annex A controls across organizational and technological domains — covering access control, cryptography, and supplier relationship security — by providing a technical control at the data egress point, keeping sensitive information within the ISMS scope boundary.

Architecture

Sensitive Data Stays on Your Network — Regardless of Deployment

Shield runs as a local proxy on your machines. Whether your team uses cloud APIs (ChatGPT, Claude, Copilot) or self-hosted models (Llama, Mistral), Shield intercepts every prompt — redacts sensitive data — and only then forwards the clean prompt. The redaction mapping and audit log stay on your hardware, inside your network boundary.

👤 UserEnterprise🛡️ ShieldLocal Redaction ProxySensitive data stays herepromptclean prompt only☁️ Cloud AIChatGPT / Claude / etc.Self-hosted model path🖥️ On-Prem ModelLlama / Mistral / etc.AI responserehydratedata restoredYour NetworkExternal Internet

Model-Agnostic

Shield sits between your AI client and any model — cloud API or self-hosted. Same policies, same protection, regardless of where the model runs.

One Environment Variable

Set SHIELD_PROXY_URL and every AI call from that machine flows through Shield automatically. Zero code changes — works with any tool that makes HTTP requests.

Cryptographic Audit Trail

Every redaction event is logged with a timestamped hash. Prove to auditors exactly what data was caught and when — on-prem or cloud, the evidence lives on your machine.

Configurable Policies

Choose which data categories to protect — PII, PHI, PCI, CUI, secrets. Add custom patterns for your organization's ID schemes. Run in audit-only mode to validate coverage first.

FAQ

Common Questions

Yes — if you add a local security control like Shield. FedRAMP and ITAR require that covered data (CUI, export-controlled technical data) remains within authorized boundaries. When Shield runs on your machines, it redacts sensitive data before it reaches the cloud provider. The cloud provider never sees the controlled information — so your compliance obligation is reduced to the local machine boundary. Your security team can demonstrate to auditors that CUI and ITAR data never entered the cloud environment.
Not always — but it gives you more control. On-premises means data stays within your perimeter, which is essential for certain classified and regulated workloads. But on-prem security depends on how well you manage your own infrastructure — patching, access control, network segmentation. Cloud providers invest heavily in infrastructure security and have dedicated security teams. The real question isn't where the model runs — it's whether sensitive data leaves your control. Shield lets you keep sensitive data on your machines regardless of where the model runs.
Shield adds single-digit milliseconds of overhead. Pattern matching against known data types (SSNs, credit card numbers, API keys) is computationally cheap — it's regex and entropy checks running on your local machine. The network round trip to the cloud provider (typically 50-200ms) dominates total latency. Shield's processing is negligible by comparison — your users won't notice the difference.
Shield works with both. It operates as a local proxy — any HTTP request that flows through it gets checked. Point your self-hosted model client at Shield's proxy URL and the same redaction rules apply. For organizations running Llama, Mistral, or other open-weight models on their own hardware, Shield provides an extra layer of defense: even if a user accidentally pastes sensitive data, it gets caught before reaching the model — even though the model is in the same building.
A data processing agreement (DPA) is a legal contract — it says the provider promises to handle your data in specific ways. Shield is a technical control — it makes the promise unnecessary for sensitive data, because that data never reaches the provider. DPAs are important, but they don't prevent data from leaving your machines. Shield does. The two work together: Shield handles the technical prevention, and your DPA covers the non-sensitive data that does transit.
That's the reality for most enterprises — a hybrid AI environment. Shield installs on any machine (Mac, Windows, Linux) and enforces the same data protection policies regardless of which AI tool or deployment model is being used. Your security team defines the policy once, and Shield applies it consistently across on-prem models, cloud APIs, and desktop AI assistants. No per-tool configuration, no per-provider negotiations.

Stop Choosing Between Cloud AI and Data Security

Shield installs in minutes on any Mac, Windows, or Linux machine. Your sensitive data stays on your hardware — whether your team uses cloud APIs, self-hosted models, or both. One policy, one proxy, every AI tool.

Talk to Our TeamHow Shield Works

Last updated: July 18, 2026