Summary: Microsoft disclosed that it expects to build between 50 and 100 new data centres a year for the foreseeable future. It is a decent bet that the majority of these will be with third party providers, though we from time to time hear that internally at Microsoft, there are efforts to consolidate vendors and pursue more self-builds. Whether that plays out is a big if. Nevertheless, the numbers are huge. Microsoft currently operates over 200 data centres and has been rapidly expanding both geographic coverage and the number of AZs per region. Last year, Europe got plenty of attention with new cloud regions announced spanning Austria, Denmark, Greece, Italy, Poland, Spain and Switzerland. This year APAC is in focus with recent announcements for in-country infrastructure in Indonesia, northern China and Malaysia. Notably, Microsoft recently confirmed it is going to be building new regions with multiple AZs right from the start. This will definitely push the envelope on total MW required and creates more TAM for operators in the right markets.
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