Monday, October 6, 2014

Microsoft expansion in Brazil by invests in Azure cloud services.

Summary: Microsoft heavy investment in Azure cloud services in the Brazilian market, as part of the strategic plan to lead the Brazilian market for cloud services.

Microsoft's expansion into global markets continues, the company has now extended its Azure reach to the Brazil South region.
The new expansion helps demonstrate Microsoft’s commitment to increasing growth and helping customers access the power of the cloud, in Brazil and around the world. It's also a commitment introduced as part of a strategy to work around what Microsoft (and others) perceives as a
disappointing stance on surveillance reforms by the Obama administration. Many countries have laws that protect the export of electronic data so proliferating datacenters across the globe ensures that regional laws are maintained and not broken.

Microsoft saw strong adoption for Azure in Brazil as can be learn by the  recent IDC report that says IT investments in Brazil have reached $61.6 billion.  The country ranks seventh in terms of global IT investment, following the U.S., Japan, China, UK, Germany and France. Researchers expect Brazil to replace France next year in sixth place. A Frost & Sullivan report pegged Brazil’s cloud computing market at $328.8 million in 2013.

Over all, the last business report by Microsoft should the Brazil outperforms rest of the world.

Microsoft Brazil head Mariano de Beer has been quoted as saying that his operation has performed better than the rest of the firm.
Back in July, Microsoft reported that it raked in a net profit of $22.1 billion for fiscal year 2014 and an 11.5 percent increase in revenue over the previous fiscal year. According to de Beer, the revenue growth percentage in Brazil alone was higher than the overall figures:
As for Brazil, de Beer added that the above-average growth has been prompted by sales of Xbox consoles and Windows Phone devices, but most importantly, sales of cloud-based product sales to small and medium enterprises - which more than doubled over the last year, boosted by Microsoft's local datacenter azure services in Brazil, launched earlier this year.


Following are news by  Narayan Ammachchi in BRAZIL, covering the  latest Microsoft activity in the Brazilian market

Microsoft Launches Azure Data Center in Southern Brazil

Microsoft has launched its Azure data center in Brazil’s Sao Paulo state, promising to provide fully secured cloud computing services to Brazilian companies concerned about cyber spying.

The new data center will store data within the country and provide customers with better performance through reduced latency.
Microsoft Azure, formerly Windows Azure, is a cloud computing platform and infrastructure for building, deploying and managing applications and services through a global network of Microsoft-managed data centers.
Internet security has become a sensitive issue in Brazil after news emerged that the U.S. National Security Agency (NSA) spied on its President Dilma Rousseff and the state-owned oil company Petrobras. The construction of more data centers in Brazil is inevitable for U.S. tech firms because the South American country now insists that its websites be hosted within its borders.
The U.S. tech giant has invested US$15 billion in its global data center infrastructure and says it plans to expand its Azure cloud service to every corner of the globe.
Globally, Microsoft says, more than 1,000 new customers join Azure every day, while revenue grew more than 150% in the last quarter. According to reports, the Azure service is currently only available in Southern Brazil.

Microsoft Turns to Seaborn Cable System to Enhance Service Quality in Brazil

U.S. technology giant Microsoft has signed up for Seaborn Networks’ yet-to-be-built submarine cable network as part of its plan to provide high-quality cloud and IT infrastructure services in Latin America.

The news comes barely months after Microsoft unveiled plans to launch its Azure data center in Brazil’s Sao Paulo state for providing cloud-computing services.
Slated for completion sometime next year, Seaborn Networks’ cable network will link São Paulo with New York City. Analysts say this will be the first direct submarine cable route between the Brazilian city and the United States, because most of the other submarine cables run through the Caribbean islands.
According to the International Finance Corporation (IFC), a World Bank subsidiary, the cable system will help accelerate broadband development in Brazil and other South American countries.
“It is clear that Microsoft is highly committed to delivering the best cloud experience and infrastructure in Brazil and all of Latin America. We are delighted that Seabras-1 will play a major role in further enabling their cutting edge consumer and enterprise services in region,” said Larry Schwartz, CEO, Seaborn.
Investing in submarine cables appears to be a new trend in the U.S. technology market. Google, for an example, recently signed up for capacity on a trans-pacific cable system linking U.S. cities with Japan.