Microsoft has announced that its new Israeli data center will open in 2022. The center is currently under construction in the town of Modiin which is located about halfway between Jerusalem and Tel Aviv.
The launch of the new center was supposed to take place this year. The delay is due to the fact that Microsoft lost out on a government contract to Oracle and Amazon. Others site the fact that workers on the new facilities were injured during construction as the cause of the delay.
Microsoft CEO Satya Nadella spoke with Israel’s Prime Minister Benjamin Netanyahu in early March about expanding its operations in the country. He said that Microsoft may spend as much as $1 to 1.5 billion in new Israeli investments.
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Microsoft country general manager Israel Ronit Atad said, “Israel is known for its great innovation and entrepreneurial capabilities, and I am sure that our cloud technology will fulfil an important role in creating new, fascinating opportunities for enterprises in Israel’s economy. Enterprises need strong, stable, secure computing infrastructure that will allow them to focus on growing their business. In the present era, cloud computing represents the core of any enterprise, and by leveraging data and turning them into the strongest of enterprise resources, enterprises can carry out digital revolutions and this will affect the entire Israeli economy.”
“Behind every successful organization’s resilience and growth is the need to enhance their own digital capability. Cloud computing is at the heart of that, with customers’ data one of their strongest assets in leading to acceleration of their business, and the Israeli economy,” she added.
“It’s no exaggeration to say that the kind of innovation going on in Israel is critical to the future of the technology business. So many great companies have been started here” – Bill Gates, Founder of Microsoft.