Dynamics 365 Business Central on Italy North Datacenter: here we are!

Do you remember this post? It was November 5, 2025 when Microsoft planned to start deploying Italy localization on Italy North datacenter (located in the Milan area).

Then something happened in the meanwhile and the update was postponed N times.

The main reason of this delay is that to deploy Dynamics 365 Business Central on an Azure region, you need to have all required components successfully deployed and tested first on that region. When a new Azure region is launched, there is usually a 3 months period for testing all Azure services. Then a new 3 to 6 months period for the Microsoft 365 rollout is started. Only after this successfully rollout phase, Dynamics 365 product can be deployed on that region (we explained all this last summer in our session at DynamicsMinds 2026).

But now we are here… starting from version 28.5, new Dynamics 365 Business Central IT customers will be deployed on Italy North:

and this will be a huge benefit not only for local data residency requirements (keeping data closer to the businesses that depend on it is critical now) but also this will improve latency.

This is an image I posted in my previous post about this topic that I want to mention regarding latency:

But I’m writing this post not only to mention the benefits of this milestone, but also to remember some important things (that are in my old post, but better to repost here):

• New IT environments will be created on Italy North from 28.5.
• Existing customers will be moved to Italy North with update 28.5 or higher.
• The environment move to Italy North will be transparent for you, but be careful on other connected services. I wrote a post about this topic that I suggest to check.
• 🚨In order for Microsoft to successfully move the existing Business Central environment to Italy North, you need to unlink the Business Central environment from the Power Platform environment (in case you have established a link time ago). You can then re-link the environment to a Power Platform environment in the new Azure geography after the Business Central environment move has succeeded. Without this operation the environment move will fail.

Now we can celebrate our new data center with pizza🍕, spaghetti🍝, and beer🍻—or rather, wine🍷.