When SaaS-Only Isn't Enough

Offline PII protection for air-gapped and sovereign environments.

February 15, 20267 min read

The Cloud Assumption

Most modern software assumes internet connectivity. SaaS models depend on it. But significant portions of sensitive data processing must happen offline:

  • Government classified networks - Air-gapped by policy
  • Healthcare systems - Local processing requirements
  • Financial trading floors - Network isolation for security
  • Defense contractors - ITAR/EAR compliance
  • Data sovereignty mandates - Data cannot leave jurisdiction

For these environments, SaaS-only PII tools are non-starters.

Data Sovereignty Requirements

China PIPL

China's Personal Information Protection Law requires data localization for certain categories, security assessments for cross-border transfer, and explicit consent for international processing.

Processing Chinese citizen data through US-based SaaS may violate PIPL.

GDPR Data Transfers

Post-Schrems II, EU-US data transfers require Standard Contractual Clauses (SCCs), Transfer Impact Assessments, and supplementary measures.

For highest-sensitivity data, organizations prefer local processing.

Industry Regulations

IndustryRequirement
Healthcare (HIPAA)Some covered entities require local processing
Finance (SOX)Audit data may require domestic processing
GovernmentClassified data cannot touch public internet
LegalAttorney-client privileged data often restricted

The Air-Gap Reality

Air-gapped networks have no internet connection by design. This prevents data exfiltration via network, remote attacks, and unauthorized cloud uploads.

But it also prevents cloud-based PII detection, API calls to external services, and SaaS application access.

Any PII tool requiring internet connectivity is unusable.

SaaS-Only Tool Limitations

No Offline Mode

Most SaaS tools require authentication to cloud servers, send data for processing, and cannot function without connectivity. Even "on-premise" deployments often phone home.

Data Transmission Risk

SaaS processing means data leaves your network, is transmitted over internet, processed on vendor infrastructure, and potentially stored in vendor logs.

Vendor Dependency

Vendor outage means no processing. Vendor sunset means scrambling for replacement. Pricing changes impact budgets. Security breaches expose your data.

The Offline Solution

cloak.business Desktop App provides full offline capability:

ComponentImplementation
FrameworkTauri (Rust backend, web frontend)
Processing100% local, no network calls
ModelsBundled spaCy, Stanza, transformers
StorageLocal encrypted vault
UpdatesManual install (no phone home)

Full Feature Parity

  • All 317 pattern recognizers
  • All 48 language models
  • All 5 anonymization methods (including reversible encryption)
  • Batch processing (1-5,000 files)
  • Audit logging (local)

No features are cloud-only.

Real-World Use Cases

Defense Contractor

A defense contractor processes personnel records containing Social Security numbers, medical information, security clearance details, and financial data.

Requirements: Process on classified network (air-gapped), no data transmission, full audit trail, ITAR compliance.

Solution: Install Desktop App on classified workstations, process locally, export anonymized documents, maintain audit logs. No cloud dependency.

China Data Processing

A multinational company processes Chinese customer data including names, addresses, Chinese Resident ID numbers, and contact information.

Requirements: PIPL compliance (local processing), no cross-border transfer, Chinese-specific identifier detection.

Solution: Deploy Desktop App in China office, process locally, Chinese Resident ID and language NER included. Data never leaves China.

Hybrid Deployment

Organizations can use both online and offline solutions:

EnvironmentSolution
Standard office networkWeb App, Chrome Extension
Air-gapped classifiedDesktop App
China operationsDesktop App (local)
Development (connected)MCP Server
Development (isolated)Desktop App

Same detection engine across all deployments. Consistent results whether online or offline.

Offline Capability Comparison

ToolFully Offline?Notes
Cloud NER servicesRequire API calls
SaaS PII toolsRequire authentication
Presidio (self-hosted)Requires setup/maintenance
cloak.business DesktopReady-to-use, no setup

Key Takeaways

  • Air-gapped environments exist and matter - Government, defense, healthcare
  • Data sovereignty mandates local processing - PIPL, GDPR, industry regulations
  • SaaS-only tools cannot serve these markets - No connectivity = no function
  • Full offline capability is essential - Not degraded mode, full features
  • Hybrid deployment serves diverse needs - Online and offline, same engine

Sources

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