The centre which will be opened in South Africa will be the first in Africa.
This makes Microsoft the first global provider to deliver cloud services from data centres on the continent.
The move will help companies securely and reliably move their businesses to the cloud while meeting compliance needs.
A report Cloud Africa revealed in 2018 said that cloud used among medium to large organisations in Africa has more than doubled between 2013 and 2018.
This is due to the benefits of the cloud in offering efficiency and scalability.
More than 90 percent of surveyed companies in South Africa, Kenya and Nigeria have plans to increase their spending on cloud computing in the next year.
Microsoft has hence taken the opportunity to open a data centre in Africa.
The General Manager of North, West, East, Central Africa, Levant and Pakistan Microsoft, Ibrahim Youssry said that it is a milestone moment in bringing the global cloud closer to home for African citizens and businesses.
Enterprises across Africa can now take full advantage of the many benefits of Microsoft Azure, using cloud services to maintain security and meet compliance standards,” he said.