OpenText announced that it is investing $1 million in a data center in Sydney, Australia, according to ZDNet.

The new data center, which was commissioned last month, will offer various enterprise cloud and data management and secure data transfer services. These services include hosting, enterprise content management (ECM), and digital asset management, the report detailed.

Chief Information Officer (CIO) Patrick Harper said during the company's Innovation Day held in Sydney: "There's a growing requirement for when we're hosting environments for enterprise data management or are transacting cloud-based services for clients, and that involves data sovereignty, data proximity, and data security. The desire to keep their data on the continent is paramount, as it's key to their compliance strategy."

The firm currently has nine other data facilities across the US and Europe. According to Harper, OpenText plans to invest more than $40 million in the Australian data center in the next three years, ZDNet reported.