20 Feb 2025

Microsoft signs deal with Spark to accelerate its AI services

6:31 am on 20 February 2025
Spark's headquarters in Auckland.

Spark modernise its own cloud environment through Microsoft's Auckland-based hyperscale data centre Photo: RNZ / Kim Baker Wilson

Microsoft NZ has signed its biggest deal yet to enable Spark to accelerate its AI services, with flow-on benefits to the wider business community.

Microsoft NZ managing director Vanessa Sorenson said the multi-year partnership agreement would see Spark modernise its own cloud environment through Microsoft's Auckland-based hyperscale data centre.

"The future of business relies on public cloud to meet the needs of today's and tomorrow's customer. You can't scale up generative AI innovation without hyperscale public cloud," Sorenson said, adding Microsoft's cloud offered leading edge security and advanced functions.

The main difference between public and private clouds was size and function.

She said the upgrade would help Spark accelerate its AI strategy, by moving a significant proportion of its workloads to Microsoft's cloud computing platform Azure and internally embedding AI chatbot Microsoft Copilot.

"For us, this deal is not just about helping Spark evolve its own cloud environments and sharing innovation for the benefit of both our companies - it's about helping our country move forward and grow as a truly digital nation," she said.

Sorenson said Spark's ugrade could benefit local businesses and wider New Zealand, with a greater uptake of generative AI and other technologies requiring a greater reliance on public cloud technology.

Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.

Get the RNZ app

for ad-free news and current affairs