Microsoft is expanding operations in Asia. Credit: Getty Images / Nurphoto / Contributor

US tech giant Microsoft has announced plans to build a new regional data center in Thailand

According to Microsoft chairman and CEO Satya Nadella, the company will invest $1.7bn in Indonesia over the next four years to build new cloud and AI infrastructure.

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“Thailand has an incredible opportunity to build a digital-first, AI-powered future,” said Nadella, adding that the investments will help drive impact and growth in Thailand’s public and private sectors.

Companies in Thailand are increasingly focused on cloud computing services and, according to Microsoft, the commitments will allow the country to take advantage of the economic and productivity opportunities offered by artificial intelligence.

Thai Prime Minister Srettha Thavisin said: “Today’s announcement with Microsoft is an important milestone in the journey of our ‘Ignite Thailand’ vision – one that promises new opportunities for growth, innovation and prosperity for all Thais.”

The company announced that it will provide AI skills training for over 100,000 individuals and offer assistance to local developers. However, they have not revealed the exact amount of investment.

In 2021, Microsoft revealed its intentions to build new data centers in both Malaysia and Indonesia, showing its commitment to expanding its presence in Southeast Asia. The company already operates a data center in Singapore, which serves as its hub for the region.

On Tuesday, Microsoft announced that they will offer AI training to 2.5 million people in Southeast Asia by 2025. This includes countries like Thailand and Indonesia. The goal is to help people in these nations learn about artificial intelligence and its applications. Microsoft aims to empower individuals in the region through these educational opportunities.