AWS Outposts is a fully managed service that extends AWS cloud computing capabilities to customer locations, such as data centers and colocation facilities. It allows organizations to run AWS services locally, using the same infrastructure, APIs, and management tools as in the cloud. This enables businesses to meet specific needs like low-latency processing, local data storage, and compliance with data residency requirements.

AWS Outposts enables organizations to deploy applications closer to end-users and connected systems, which is essential for low-latency applications. For instance, applications in sectors like healthcare or manufacturing can benefit from single-digit millisecond latency, allowing for real-time responses and efficient processing of local data without the delays associated with transferring data to and from the cloud.

AWS Outposts helps organizations meet data residency requirements by allowing them to store and process sensitive data locally, in compliance with regulations that mandate data to remain within specific geographic boundaries. This flexibility ensures that businesses can manage their workloads effectively while adhering to legal and contractual obligations regarding data location.