(Bloomberg) -- Microsoft Corp., which has been battling the U.S. government over the privacy of customer information stored overseas, said it will offer cloud services from data centers based in the U.K.

Microsoft will sell Azure computing power and Office 365 Internet-based apps from the U.K. starting in 2016, Chief Executive Officer Satya Nadella said in London Tuesday. He also said the software maker has finished its latest phase of expansion for data centers in Ireland and the Netherlands, which serve as hubs for serving European customers.

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