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Microsoft To Use Telefonica Infrastructure For Datacenter Region In Spain

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Microsoft said it will open an Azure cloud datacenter region in Spain and use the infrastructure of Spanish telecom company Telefonica SA as part of the two companies' global strategic partnership.

Microsoft cloud services that will be delivered from the new datacentre region in Spain include Microsoft Azure, Microsoft 365, Microsoft Dynamics 365 and Microsoft Power Platform.

Under the partnership, the two companies will develop joint go-to-market plans in all the countries where Telefónica operates. Telefonica has a significant presence in 14 countries in Europe and Latin America.

The two companies said they have identified the opportunity to collaborate to serve the needs of organizations in critical sectors such as government, health, education, travel, manufacturing, retail, finance, and insurance.

Joint customers of Microsoft and Telefonica will be able to offer new services that require low latency, security and assured bandwidth around 5G, edge computing and Industry 4.0.

"Together, we will deliver comprehensive, intelligent, secure and trusted cloud services - spanning Azure, Microsoft 365 and Dynamics 365 - from datacenters in Spain, helping our customers accelerate their digital transformations," said Satya Nadella, CEO of Microsoft.

In addition, Telefonica will accelerate the use of Microsoft Azure as its cloud internally.

Telefónica has already deployed Microsoft 365 to its global employee base for communication and collaboration across the 14 countries in which it operates.

As a strategic partner for its multi-cloud strategy, Microsoft will train hundreds of Telefónica employees on Microsoft Cloud services.

Microsoft's Azure cloud platform is only behind Amazon Web Services, which is the top public cloud provider. Microsoft has 56 data center regions globally.

While reporting its second-quarter financial results in January, Microsoft said that the Intelligent Cloud segment revenues, which include the Azure on-demand computing services, increased 27 percent to $11.9 billion. Azure revenues surged 62 percent.

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