Tuesday, 02 January 2024 12:17 GMT

Microsoft Announces USD5.4B Investment in Canadian Data Centers


(MENAFN) Microsoft President Brad Smith arrived in Canada Tuesday to unveil a massive CAN$7.5 billion ($5.4 billion) commitment toward Canadian data center infrastructure while reassuring government authorities that Canadian information will remain shielded from cyberattacks and foreign governmental access.

The proposed expansion represents "the most important commitment in Microsoft Canada's history," the corporation stated on its website, "with a CAN$7.5 billion investment over the next two years"

However, digital sovereignty has emerged as a critical concern for Canada's government, mirroring anxieties shared by other nations and institutions increasingly vigilant about cyber threats.

"We're launching a new five-point plan to promote and protect Canada's digital sovereignty," Microsoft said on its website. "And we're combining this with ongoing and new work to invest in Canada's people, ensuring they have access to the skills needed to succeed in an AI era."

Both Canadian governmental bodies and private enterprises harbor concerns that the US government under President Donald Trump could access sensitive information through American technology giants, including Microsoft.

"Digital sovereignty has become a more important issue around the world," Smith told the media. "What we're seeing in Canada is two very distinct things. One is the change in the dialogue with the United States. The other is the increase in activity from around the world that's targeting Canada."

"Foreign interference poses one of the greatest strategic threats to Canada's national security," according to Public Safety Canada, the department of the Canadian government responsible for coordinating federal efforts to keep Canadians safe from a range of risks, including national security threats, crime and natural disasters.

"In order to embrace the full advantages of cyberspace, Canada must guard against those who would attack our digital infrastructure to undermine our national security, economic prosperity and quality of life," it added.

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