When you set up a Microsoft 365 (M365) tenant, one of the most important (and often overlooked) details is where your data is stored. The location of your data — called data residency — impacts compliance, security, and performance.
Recently, a user from Indonesia asked on the Microsoft Tech Community if data could be stored locally in Indonesia. The short answer was: not yet, unless you use Microsoft’s Advanced Data Residency (ADR). By default, data for Indonesian tenants is stored in the Asia Pacific region.
With Microsoft expanding its cloud infrastructure, including new regions launched in June 2025, the landscape is changing fast. Let’s break it down.
What Determines Your Microsoft 365 Data Region?
Your data region is automatically assigned when you create your tenant:
- Default Geography: The country or region you choose during setup determines your tenant’s data geography.
- No Local Region? If your country doesn’t have a Microsoft data center, your data goes to the nearest supported region.
- Examples:
- A France tenant is placed in the EU/EFTA macro-region.
- An Indonesia tenant is placed in Asia Pacific (unless ADR applies).
Microsoft’s Newly Available Regions (2025 Update)
Microsoft continues to invest in global infrastructure. As of June 2025, new data center regions are available in:
- Indonesia
- Malaysia
- Chile
This means that organizations in these countries can now leverage Advanced Data Residency to store certain workloads locally.
Other countries already supported include Australia, Brazil, Canada, France, Germany, India, Japan, South Korea, South Africa, Spain, Sweden, Switzerland, UAE, UK, and more.
How to Check Your Tenant’s Data Location
Want to know where your company’s Microsoft 365 data is stored? It’s easy:
- Go to Admin Center > Settings > Org Settings > Organization Profile.
- Click Data Location.
- The Data Location Card shows where data for Exchange Online, SharePoint, OneDrive, Teams, and Copilot is stored.
For more detailed checks, you can also run PowerShell commands such as:
Connect-ExchangeOnline
Get-OrganizationConfig | Select-Object -ExpandProperty DefaultMailboxRegion
Can You Move Your Data to a Different Region?
By default, no — tenants can’t just be relocated to another region. However, you do have options:
- Go-Local Move: Sometimes Microsoft offers migration to a new local region when it becomes available.
- Advanced Data Residency (ADR): A premium option that ensures eligible workloads are placed in your country once data centers launch.
- Manual Migration: The only way to fully change tenant geography is to create a new tenant and migrate data, which is often complex.
Why Data Residency Matters
Storing data in the right location isn’t just about performance — it’s about compliance.
- Legal Requirements: Regulations like GDPR or local data protection laws may require data to stay within specific borders.
- Governance & Security: Having data close to users reduces latency and increases control.
- EU Data Boundary: Since 2024, Microsoft ensures that most personal data for EU customers stays within the EU, addressing regulatory concerns.
Final Thoughts
If you’re in Indonesia, Malaysia, or Chile, this is good news: Microsoft now has new local data centers. With ADR, you may be able to bring your tenant data closer to home.
For everyone else, checking your Data Location Card in the Admin Center is the first step to understanding your tenant’s setup — and ensuring compliance with your industry’s regulations.
Source: https://learn.microsoft.com/en-us/microsoft-365/enterprise/o365-data-locations?view=o365-worldwide