Microsoft is planning to build a 7,600 sq m data centre in Clondalkin, Dublin. The facility is estimated to cost €70 million and it is expected to be operational by the end of summer 2016.
The company said it needs to further develop its hub in the Grangecastle business park due to higher than expected demand for internet usage.
Microsoft has put forward permission plans to the South Dublin County Council.
The venture is expected to create up to 180 full-time jobs and is also part of a wider data centre development project by Microsoft in Ireland worth €700 million.
In planning documents it reads: "The increasing move of social and business life to the online or cloud world means the current facilities are approaching their capacity ahead of the most conservative predictions of five years ago."
Apple has been another big data centre player in Ireland this year announcing a €700 million expansion plan to its facilities.
Google has also been reported to be looking at further developing its campus in the Irish capital.
In CBR’s top global places to build a data centre rank, Dublin scored fifth.