Named Chile Central, the new Microsoft region is located in the Santiago metropolitan region and includes three physically independent sites housing multiple data centers
In sum – what to know:
Microsoft region in Chile – new data center in Chile links the country to the Microsoft’s global cloud network, claiming secure, scalable and compliant services.
Investment and jobs – Microsoft and partners are expected to inject billions into the Chilean economy, driving innovation and employment through 2029.
Water cooling tech – the setup uses ‘closed-loop, non-evaporative’ cooling systems, minimizing water consumption and supporting sustainability goals.
Microsoft has launched its first ‘data center region’ in Chile with a significant investment to accelerate the country’s digital transformation and strengthen its role in the global cloud infrastructure market. Named Chile Central, the new setup is located in the Santiago metropolitan region and includes three physically independent sites housing multiple data centers.
The new hub integrates Chile into the Microsoft’s global cloud network, offering services to both public and private organizations across Chile and neighboring countries. The marketing says it ensures high levels of security, privacy, and compliance, helping organizations store data locally and unlock new opportunities through digital technologies, the firm said.
According to IDC, Microsoft and its ecosystem of partners and customers are expected to generate $35.3 billion in new revenue in South America over the next four years. Of that amount, $3.3 billion will be directly invested in Chile, leading to an estimated 81,000 new jobs between 2025 and 2029.
Microsoft will offer Azure, Microsoft 365, Dynamics 365, and Power Platform via the setup. It will keep data within Chile, the company said. The new data centers rely on non-evaporative cooling systems, such as air-cooled chillers and direct expansion (DX) units, which are closed-loop systems that significantly reduce water consumption, according to Microsoft. Minimal water is used, and only for humidification purposes, it said.
Tito Arciniega, president of Microsoft Latin America, said: “Microsoft’s cloud data center infrastructure in Chile will play a fundamental role in our strategy for Latin America and will help establish a hub that radiates innovation from the region to the world. With Chilean companies integrated into the global economy and exporting goods and services worldwide, this new cloud region will support and stimulate economic growth, allowing businesses and governments to take advantage of the benefits of the cloud.”
Some of the firm’s customers in Chile include BCI, Codelco, Aguas Andinas, Banco Falabella, SQM, and Theodora AI.
Microsoft’s global network now spans more than 400 data centers across more than 70 cloud regions. Earlier this month, it announced a $400 million investment to expand its cloud and artificial intelligence (AI) infrastructure in Switzerland. A key part of the plan is the expansion of Microsoft’s data centers near Zurich and Geneva, which will be upgraded with advanced graphics processing units to support the increasing demand for AI and cloud services. These facilities will serve over 50,000 customers, including regulated industries such as finance, government and healthcare.
Last month, Microsoft had launched its first cloud region in Indonesia, known as Indonesia Central, as part of its $1.7 billion investment in the country between 2024 and 2028. Announced during the company’s AI Tour in Jakarta, the new cloud region provides local access to Microsoft’s cloud infrastructure, aimed at supporting artificial intelligence development, data residency, security compliance and low-latency services.