Verizon Business has embarked on a major data center expansion as part of its strategy to build out a full range of cloud services.

The Basking Ridge, N.J.-based telecommunications giant said the investment is part of the $17 billion it has earmarked for building, operating and integrating its networking and cloud computing platforms.

Verizon said it will build data centers in San Jose, London, and Canberra, Australia, to expand its Computing as a Service (CaaS) offering. Those centers are in addition to facilities that will come online in Miami and Culpepper, Va., during the first quarter of 2011 to support government customers.

“Verizon is committed to providing the essential foundation for the delivery of cloud services that will enable businesses to more efficiently achieve their goals through IT transformation,” Kerry Bailey, Verizon senior vice president of enterprise strategy, said in a statement.

Bailey said the data center build out marks another milestone in the company’s “everything-as-a-service” (EaaS) vision, where Verizon will be able to provide enterprises with cloud-based offerings around the globe. Verizon’s offerings include server, network and storage capacity on demand.

In addition to the new data centers, Verizon said it will install more than 5,500 new server cabinets for enterprise clients at data centers in Paris, Dublin, London, Frankfurt, Canberra, Hong Kong, and various locations in the U.S.