Enterprises can now benefit from AI-powered software development and modernization without moving sensitive code, data, or workflows outside their controlled infrastructure

ARMONK, N.Y., Oct. 1, 2026 /PRNewswire/ -- Today IBM (NYSE: IBM) announced self-hosted deployment for IBM Bob, allowing organizations to bring AI software development to on-premises, private-cloud, sovereign-cloud, and air-gapped environments where they have control. Bob is IBM's agentic software development platform that helps teams move beyond code generation to apply AI to the work of software delivery and modernization.

Enterprises are investing heavily in AI-powered software development, but organizations that manage sensitive source code, regulated data, or mission-critical infrastructure often face strict security and compliance requirements that can limit their ability to use public AI platforms. For many organizations, especially those in regulated industries, AI adoption requires control over where AI runs, what data AI can access, and how AI systems are governed.

According to a report from Futurum Research, hybrid and edge deployments are projected to capture 44% of the AI infrastructure market by 2030 as organizations seek sovereign control alongside ecosystem connectivity, while public cloud share is projected to decline to 46% in that same timeframe.

IBM Bob's self-hosted deployment option brings AI to customer-managed infrastructure and is specifically designed for organizations that require greater control over data residency, security policies, AI governance, and software development workflows. Unlike many AI coding and software development tools that require organizations to move data to external services, the self-hosted version of IBM Bob allows enterprises to deploy AI software development and modernization capabilities in environments where their code, application context, and data already reside.

"The future of enterprise AI will depend on security, governance and sovereignty," said Neel Sundaresan, GM of AI and Automation, IBM. "Organizations need AI that operates inside environments they have control over, especially when working with sensitive code and regulated data. Bob's self-hosted deployment provides a way for enterprises to bring agentic AI directly to those environments so they can benefit from the technology while maintaining security, compliance, and operational control."

Most enterprises operate software environments that contain sensitive data like intellectual property, proprietary source code, and regulated customer information. According to The Calculus of AI Sovereignty, a report published in June 2026 by IBM's Institute for Business Value, 68% of surveyed executives say meeting data residency and sovereignty requirements across geographies is challenging.

Now, IBM Bob's deployment flexibility can help enterprises address those requirements by allowing them to bring AI to the data instead of moving their data for the AI. Enterprises can run supported models on premises, including in air-gapped environments, using supported models they've licensed or connect Bob to supported external model services through hybrid configurations.

While many AI development tools have been designed primarily for cloud-native environments, enterprise modernization often involves applications and data distributed across on-premises systems, private clouds and other controlled environments. IBM Bob's deployment flexibility allows organizations to use AI for software development and modernization across infrastructure environments and models, helping them achieve true AI adoption.

For additional information about self-hosted options for IBM Bob, visit: https://www.ibm.com/new/announcements/ibm-bob-expands-to-self-hosted-environments-for-sensitive-and-mission-critical-enterprise-software

About IBM

IBM is a leading provider of global hybrid cloud and AI, and consulting expertise. We help clients in more than 175 countries capitalize on insights from their data, streamline business processes, reduce costs and gain the competitive edge in their industries. Thousands of governments and corporate entities in critical infrastructure areas such as financial services, telecommunications and healthcare rely on IBM's hybrid cloud platform and Red Hat OpenShift to affect their digital transformations quickly, efficiently and securely. IBM's breakthrough innovations in AI, quantum computing, industry-specific cloud solutions and consulting deliver open and flexible options to our clients. All of this is backed by IBM's long-standing commitment to trust, transparency, responsibility, inclusivity and service.

Visit www.ibm.com for more information.

Media contact:
Rebecca Neufeld
IBM
rebecca.neufeld@ibm.com

Sources:

"Sovereign AI: What Nations Want (And What They'll Actually Get)" Futurum Research, 2026
"The Calculus of AI Sovereignty" IBM Institute for Business Value, 2026

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