Microsoft (NASDAQ:MSFT) said on Wednesday that it will establish its first regional data center in Thailand, aiming to enhance the availability of cloud services in the area.
The announcement comes just a day after CEO Satya Nadella disclosed a $1.7 billion investment in AI and cloud infrastructure in Indonesia.
"The datacenter region will expand the availability of Microsoft’s hyperscale cloud services," the company said in a statement.
"What that means it that is not only do you have full capability of Azure in Thailand, but the best world-class AI infrastructure," Nadella said during an event in Bangkok.
The new Thai data center is expected to improve enterprise-grade reliability, performance, and ensure compliance with data residency and privacy standards, Microsoft stated
Thai Prime Minister Srettha Thaivisin said that the data center aligns with Thailand's objectives to become a hub for the digital economy.
"Microsoft's investment is an important turning point in the development of Thailand's digital economy, increasing competitiveness," he wrote on social media, adding that it would drive economic growth.
Microsoft has committed to training 2.5 million individuals in Southeast Asia on AI technologies by 2025.