Microsoft announces opening of its New Zealand hyperscale cloud region

Microsoft has announced that its New Zealand hyperscale cloud region is open for business.

The Aotearoa cloud region “provides assurance that local organisations’ data can be stored, processed, and backed up all on New Zealand’s shores”, Microsoft announced.

Microsoft also touted “enhanced security, and reduced latency” as benefits of the new infrastructure.

The new cloud region will be powered by “100% carbon-free energy” and will use “water-free cooling”.

Microsoft has a 10-year contract with Contact Energy, which “supported Contact’s investment decision to construct the Te Huka 3 power station and can generate 51.4 megawatts of reliable and renewable generation throughout the year,” stated Microsoft ANZ Chief Partner Officer Vanessa Sorenson.

Sorenson talked up the benefit of the new infrastructure for New Zealand companies with global ambitions.

“So many New Zealand companies are going global, and having this infrastructure here in Aotearoa is going to help many more innovators to realise their ambitions and show the rest of the world how creative and talented we can be,” Sorenson stated.

In June 2024, Microsoft announced New Zealand multi-cloud services provider CCL as the first at-scale cloud launch partner for its New Zealand hyperscale cloud region. This would enable CCL to migrate customers to Microsoft's New Zealand North cloud region at scale.

In late 2023, Microsoft described the New Zealand cloud region launch as a “tremendous opportunity for partners” … to help customers to store and process their data on shore, to meet data residency and compliance obligations, to reduce the latency of their workloads, and to meet their sustainability commitments.”

Over the last few years, Microsoft has announced various Aure deals with companies in New Zealand, including Fonterra, BNA, Auckland Transport, ASB, AvePoint, Accident Compensation Corporation and  Te Tumu Paeroa.

Today’s news follows yesterday’s announcement by Microsoft that it planned to deploy an Azure Extended Zone to Perth by mid-2025.