Microsoft also confirmed Monday it had joined a consortium made up of China Mobile, China Telecom, China Unicom, Chunghwa Telecom, KT Corporation with TE SubCom to invest in a cable connecting North America to China.
“The goal of our expansions and investments in subsea cables is so our customers have the greatest access to scale and highly available data, anywhere,” Crowley added.
Under CEO Satya Nadella, Microsoft has focused on becoming a cloud-first company. In the quarter ending March 31, Microsoft reported a 106 percent year-on-year rise in commercial cloud revenue.
But the cloud space is extremely competitive. Chinese e-commerce giant Alibaba is expanding its cloud business outside of its home market, while Amazon’s chief technology officer recently told CNBC that cloud could overtake its retail business.
Microsoft is not the only company to invest in underwater cables. Last year, Google was part of $300 million investment to connect major West Coast U.S. cities to locations in Japan.