Telstra, Microsoft expand strategic partnership

Telstra and Microsoft have signed a five-year agreement to expand their strategic partnership to accelerate Australia’s digital transformation.

Under the agreement, Microsoft will become an anchor tenant on Telstra’s planned new high-speed inter-city fibre network.

Telstra will meanwhile select Azure as a preferred cloud partner for its push to have about 90% of its applications on public cloud infrastructure by 2025 under its T25 transformation strategy.

Meanwhile Telstra will establish a dedicated Microsoft practice within its Telstra Purple consulting division that will combine Microsoft's cloud, edge and modern work solutions with Telstra's network leadership and technology experts.

Finally, the two companies have committed to collaborating to support hybrid ways of working and develop environmental, social and governance initiatives.

Telstra CEO Andy Penn said the deal is in line with the T25 growth strategy and will benefit both partners.

“As the go-to partner for Microsoft in Australia, this expanded agreement will turbocharge how we deliver compelling, all-digital experiences,” he said.

“Beyond our network, one of our biggest differentiators is our 2000-strong Telstra Purple team of technology experts who partner with businesses to design, deliver and manage solutions across cloud, cybersecurity, software development, data and AI, and workplace technologies.”

Penn added that the strategic partnership with Microsoft “is on a scale not seen before in Australia, and it will be Australian businesses who will benefit at a time when the urgency to digitise and transform their operations has never been greater.”

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