Microsoft has announced a strategic partnership with Lumen Technologies to enhance its infrastructure capabilities to meet the growing demands of its AI services. This collaboration aims to bolster Microsoft's network performance and capacity, essential for supporting its expanding AI workload.
Microsoft will utilize Lumen's Private Connectivity Fabric (PCF), a modular network solution that allows for custom network architecture development. This enhancement will ensure stable and fast connectivity between Microsoft's data centers, which is crucial for managing the high demands of AI applications, including the Azure OpenAI Service.
Erin Chapple, Microsoft's corporate vice president for Azure core product and design, emphasized the importance of this partnership:
“Lumen has the network infrastructure and the digital capabilities needed to help support Azure’s mission in creating a reliable and scalable platform that supports the breadth of customer workloads — from general purpose and mission-critical, to cloud-native, high-performance computing and AI, plus what’s on the horizon.”
The partnership comes at a time when Microsoft is experiencing significant growth in its AI services. As of Q2 2024, Azure AI supports over 53,000 customers, with more than a third being new to Azure in the past year. Additionally, there has been a 250% increase in the number of generative AI-related partners since July 2023, according to Nicole Dezen, Microsoft's chief partner officer.
To accommodate the increasing AI workloads, Microsoft is expanding its data center footprint, including new sites in France. The collaboration with Lumen will help Microsoft scale its data center ecosystem effectively, leveraging Lumen's expansive network and unique coverage to meet the high-performance requirements of AI applications.
Kate Johnson, Lumen’s president and CEO, highlighted the significance of a robust network infrastructure for AI innovation:
“We are preparing for a future where AI is the driving force of innovation and growth and where a powerful network infrastructure is essential for companies to thrive. Microsoft has an ambitious vision for AI and this level of innovation requires a network that can make it reality. Lumen’s expansive network meets this challenge, with unique routes, unmatched coverage and a digital platform built to give companies the flexibility, access, and security they need to create an AI-enabled world.”
In addition to enhancing Microsoft's AI infrastructure, Lumen will also benefit from this partnership by leveraging Microsoft's cloud and AI technologies for its own digital transformation. Lumen plans to migrate and modernize its workloads to Microsoft Azure and use Microsoft Entra solutions to secure network access.
Moreover, the partnership aims to develop industry-specific solutions for the telecom sector, potentially improving Lumen’s cash flow by more than $20 million over the next 12 months.
This collaboration underscores the critical role of advanced network infrastructure in supporting the next wave of AI innovation and growth, ensuring that both companies are well-positioned to meet future technological challenges.
