Macquarie Government has launched a Microsoft Azure cloud, security and AI services practice aimed at Australian federal and state government agencies, marking the first time the company has brought its public cloud services to government.
The new offering is designed to align with government security classifications, including Protected-level requirements, and extends Macquarie Government’s existing cybersecurity work across parts of the federal public sector into public cloud and AI-related services.
Macquarie Government said the practice will provide agencies with Azure services including Managed Azure, Microsoft XDR, Microsoft Sentinel, Azure Virtual Desktop, Azure Local and Managed Fabric, delivered through a co-managed model intended to keep agency teams actively involved in their environments.
The practice will be led by Naran McClung, Executive Head of Azure at Macquarie Cloud Services. In a statement, McClung said the government expansion would bring “real-world experience operating Azure environments at scale” alongside the “security clearances and accreditations the public sector requires.”
The launch comes as government agencies continue to modernise legacy systems while facing cost and governance pressures, and as Microsoft deepens its position in the Australian public sector through a whole-of-government agreement with the Digital Transformation Agency and a stated $25 billion commitment to local digital infrastructure.
Macquarie Government also highlighted Azure Local as an option for agencies seeking “sovereign, isolated AI hosting” within their own security perimeter, describing it as a pathway to running private language models without relying on public cloud endpoints. The company said Macquarie Cloud Services has already been deploying Azure Local in live customer environments.
Microsoft Australia and New Zealand General Manager for Public Sector Vivek Puthucode said Macquarie Government’s model helps agencies “maximise the value of Microsoft Azure and AI.”
Macquarie Government said it recently appointed former Defence advisor Dr Chris Peiris as Microsoft Security and Azure Lead, based in Canberra, as it targets growth across federal and state public sector customers.
