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Microsoft launches its first hyper-scale cloud datacenter region in Mexico

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The Queretaro-based project will accelerate innovation and a growing economic opportunity, providing cutting-edge infrastructure for digital services.

Microsoft announced availability of its first datacenter region in Mexico: Mexico Central, for any and all organizations around the world, providing local access to scalable, highly available and resilient cloud services while confirming its commitment to promoting digital transformation and sustainable innovation in the country, providing cutting-edge technology for companies like Binaria ID y DocSolutions, among others. According to the IDC Mexico Microsoft Cloud Dividend Snapshot, over the next four years, Microsoft, its partners, and cloud-using customers will together generate globally about $70.7 billion in new revenues above the 2024 level. This will drive investment in local economies and will create more than 300,000 jobs in different industries in Mexico.

In February 2020, Microsoft announced the establishment of a new cloud datacenter region in Mexico during president´s daily press conference, as part of an investment plan to drive Mexico’s digital transformation. Microsoft’s investment in Mexico provides highly available, scalable, and secure cloud services across Mexico with the option of data residency and improved latency in country. The new cloud region, consisting of multiple datacenters, is located in the Queretaro Metropolitan area. It will provide security, privacy, and performance, and will contribute to the acceleration of the digital transition of organizations and public entities in Latin America.

Meeting Mexico’s demand for secure, scalable and local cloud services

The Microsoft Cloud includes Azure, Microsoft 365, Dynamics 365, Power Platform and Gaming services, which will be delivered locally through the new Mexico Central datacenter region. These services help companies innovate in their industries. The deployment of Microsoft 365 solutions and services is designed to cater to the preferences of customers who prioritize in-country data storage.

Series of images inside a data center

Mexico joins the more than 60 Microsoft Cloud regions, distributed all over the world – and will grow to become the first Microsoft datacenter region in Spanish-speaking Latin America. This hyperscale infrastructure allows customers to adjust their systems quickly and easily to meet growing demand. The local hyperscale cloud region will serve Mexican companies that need to run the services on Mexican soil as well as global organizations that want to leverage the Mexican region for accelerating their own digital transformation.

Among the organizations that are leveraging this new project, Kio Networks, MCM Telecom, and Megaport, our key Microsoft Express Route partners, are offering a new set of digital connectivity solutions to Mexican companies and public administrations. Many companies have used the Express Route model since the infrastructure started. They benefit from its private connectivity features.

We are thrilled to be a Microsoft certified ExpressRoute Partner, and to offer our customers a more secure and reliable way to access Azure’s cloud services. With ExpressRoute, our customers will be able to benefit from higher speeds, lower latency, and more secure connectivity than with public internet connections, which is crucial for sensitive and mission-critical workloads, process automation and data analytics. We are committed to deliver the best possible solutions for our customers, and the partnership with Microsoft will help us do just that.» Julio Palacios CIO MCM Telecom.

«We are excited to be on board with the new Mexico Central region and are ready to help customers with their connectivity needs, especially Express Route in minutes» – Daniel Bowling; Director – Cloud Solutions MEGAPORT.

Images outside a Microsoft data center

The impact of the Microsoft cloud region in Mexico

According to IDC research, this new datacenter region will help drive economic growth and contribute to the creation of job opportunities to sustain digital innovation, generating more than 110,000 opportunities for professional services, almost 52,000 in commerce, 43,000 in finance, 58,000 in manufacturing and 40,000 for communication and media, including jobs directly in their own organizations and jobs generated indirectly in other organizations.

Technology alone is not enough without skilling. During the past two years Microsoft has trained and reskilled more than 1.3 million Mexicans with different training opportunities, by local partners and NGOs. IDC expected that +65,000 people will be skilled in IT by 2027.

Mexican companies bring creativity, craftmanship and entrepreneurship to the global marketplace, solidifying their position as some of the most esteemed and trusted brands in the world. We believe that Mexico’s vibrant business landscape deserves the best technological infrastructure available. With our new cloud datacenter region in Mexico, we are empowering Mexican organizations to seize the opportunities of the digital age, more easily scale their operations internationally, and helping them meet and exceed their customers’ expectations during this period of intense innovation and into the future.” said Tito Arciniega, President Microsoft Latin America.

Innovation to accelerate Mexico’s economic growth

Thousands of customers and partners in Mexico are already driving business transformation with Microsoft Cloud services. They include schools, universities, organizations, and companies from all industries. Microsoft’s hyper-scale cloud datacenter region begins operations with customers such as Binaria ID and DocSolutions who are already experiencing the benefits of this infrastructure:

For DocSolutions, early access service in Mexico has allowed us to accelerate the automation processes for our regulated sector clients, reinforced by the certifications that Microsoft has in its datacenters. The ability to store and process information within Mexican territory, and to reduce the latency of data transfer, has significantly contributed to the adoption of some of our solutions, such as the SoluSign electronic signature platform and our Digital Onboarding platform.” said Freud Cuevas, Director de Consultoria y TechHub, DocSolutions.

Having greater control of data in Mexican territory, Binaria ID, under the service of early access Mexico, has managed to further strengthen the trust and digital certainty of its customers. For Binaria ID’s customers, a company focused on credentials and digital identities, it is of utmost importance to know that their data will always be protected with the highest security standards that Microsoft guarantees”, said José Ramón Martínez, Platform Architecture Manager, BinariaID.

This data center region will enhance the reach of nearshoring in Mexico: companies already see our country as a destination to relocate their production chains and now, they will also find the necessary infrastructure to generate greater efficiency and control of their operations.

A new generation of Datacenters to help organizations achieve sustainability goals

This new cloud region will also help businesses achieve their sustainability goals in line with current priorities, as Microsoft Datacenters are designed according to sustainability and circular economy principles. By 2030 Microsoft will be carbon negative, and by 2050 Microsoft will remove from the environment all the carbon the company has emitted either directly or by electrical consumption since it was founded in 1975, inclusive of our datacenter operations. By 2025, we will shift to 100% supply of renewable energy, meaning that we will have power purchase agreements for green energy contracted for 100% of carbon-emitting electricity consumed by all our datacenters.

Through modern and innovative techniques, we are reducing the use of cooling water in our datacenters. We estimate that we will use water to cool our Mexican datacenters less than 5% of the year.

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