Kyndryl has made its Cloud Uplift service available in Microsoft's Canadian data centre regions, giving organisations a way to move certain legacy workloads to Microsoft Azure while keeping data stored in Canada.
The service, previously branded as Skytap, is designed to migrate and run IBM Power environments on Azure. It targets systems running AIX, IBM i and Linux on IBM Power, which often sit at the core of back-office operations in sectors such as financial services, manufacturing and the public sector.
Canadian regions
The Canadian rollout means Cloud Uplift can run within Microsoft's in-country cloud regions rather than relying on cross-border hosting. Data residency has become a central issue for many Canadian organisations as they weigh cloud migration plans and operational exposure.
Microsoft Canada President Matt Milton said the move is intended to help organisations migrate faster while keeping workloads running.
"Together with Kyndryl, we're enabling Canadian organizations to move and modernize mission-critical systems in Microsoft Canadian data center regions with confidence," said Matt Milton, President, Microsoft Canada. "With the ability to migrate as-is workloads, organizations can move faster and start realizing value sooner."
Kyndryl described the offering as a way to move sensitive, operationally important systems without requiring immediate application changes.
"Canadian enterprises need an approach that speeds up the modernization of their mission-critical workloads while preparing them for what's next," said Brian Medeiros, President, Kyndryl Canada. "Kyndryl Cloud Uplift provides a low-risk, accelerated path to Microsoft Azure, giving customers the foundation to modernize, scale operations and access to AI innovation."
Lift-and-shift focus
Many organisations still run large estates of IBM Power-based systems built over years. These systems often support finance, supply chain, order processing, customer records and other functions that require high availability. Rewriting them can mean long programmes, extensive testing and added operational risk during cutovers.
Cloud Uplift centres on "as-is" migration. It replicates existing IBM Power environments and runs them on Azure, which can reduce the need to re-architect or rewrite applications during migration. It also keeps existing operational processes in place, which is often a priority for teams managing systems with strict uptime requirements.
The service is intended to reduce migration risk while maintaining performance and day-to-day operations. Kyndryl also offers a self-serve option for organisations that want a more standardised route into Azure for these workloads.
Risk and regulation
Cloud adoption in Canada has grown, but regulated industries and public sector bodies still face constraints on how they store and process information. Data sovereignty and compliance requirements can shape both where systems run and how they are managed. Geopolitical concerns have also become part of board-level discussions about cloud dependency and exposure to foreign jurisdictions.
Kyndryl pointed to findings from its Readiness Report. It said 67% of leaders report innovation is delayed by foundational technology issues, 81% are increasingly concerned about the geopolitical risks of storing and managing data in global cloud environments, and 60% are changing cloud strategies in response.
Making the service available in Canadian Azure regions addresses part of that challenge for organisations that need to keep data in-country. It also supports a hybrid approach, where some applications move first while others remain on existing platforms.
Expansion pattern
Kyndryl acquired Skytap in May 2024 and later rebranded the product as Kyndryl Cloud Uplift. Canada is the fifth geographic region where the service has been offered since the acquisition.
The Canadian launch also extends coverage across Microsoft's infrastructure footprint. Canada is the fourteenth Microsoft data centre region where Cloud Uplift is available.
The expansion comes as service providers and cloud platforms place more emphasis on in-country capacity, sector-specific compliance needs and migration tools for older application stacks. For Kyndryl, which built its business on managing complex infrastructure environments, IBM Power estates remain a significant part of many clients' legacy footprints, even as cloud programmes continue.
With Cloud Uplift now available in Canadian Azure regions, organisations running IBM Power systems have another option for moving those workloads to Microsoft's cloud while keeping data resident in Canada.