Microsoft Doubles Down on Taiwanese Data Centers

Microsoft plans to double its data centers in Taiwan from two facilities to four over the next few years, said Sean Pien, Microsoft Taiwan general manager. The new sites will mainly be located in northern Taiwan to meet customer demand and reduce operational risks.

The computing capacity shortage is not limited to graphics processing units (GPUs) and central processing units (CPUs), but also affects power supply and space allocation for additional server racks, Pien noted. To address the issue, Microsoft aims to build new data centers and reconfigure existing facilities to accommodate more capacity.

The company's expansion in Taiwan is driven by customer demand, which has outpaced supply over the past two to three years, according to Pien. By increasing its data center presence in the country, Microsoft can balance revenue growth, profitability, and customer needs while also supporting global computing infrastructure development.