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Azure Networking Blog
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Azure Networking 2025: Powering cloud innovation and AI at global scale

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Sudha_Mahajan
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Dec 18, 2025


In 2025, Azure’s networking platform proved itself as the invisible engine driving the cloud’s most transformative innovations. Consider the construction of Microsoft’s new Fairwater AI datacenter in Wisconsin – a 315-acre campus housing hundreds of thousands of GPUs. To operate as one giant AI supercomputer, Fairwater required a single flat, ultra-fast network interconnecting every GPU. Azure’s networking team delivered: the facility’s network fabric links GPUs at 800 Gbps speeds in a non-blocking architecture, enabling 10× the performance of the world’s fastest supercomputer. This feat showcases how fundamental networking is to cloud innovation. Whether it’s uniting massive AI clusters or connecting millions of everyday users, Azure’s globally distributed network is the foundation upon which new breakthroughs are built. 

In 2025, the surge of AI workloads, data-driven applications, and hybrid cloud adoption put unprecedented demands on this foundation. We responded with bold network investments and innovations. Each new networking feature delivered in 2025, from smarter routing to faster gateways, was not just a technical upgrade but an innovation enabling customers to achieve more. Recapping the year’s major releases across Azure Networking services and key highlights how AI both drive and benefit from these advancements. 

Unprecedented connectivity for a hybrid and AI era 

Hybrid connectivity at scale: Azure’s network enhancements in 2025 focused on making global and hybrid connectivity faster, simpler, and ready for the next wave of AI-driven traffic. For enterprises extending on-premises infrastructure to Azure, Azure ExpressRoute private connectivity saw a major leap in capacity: Microsoft announced support for 400 Gbps ExpressRoute Direct ports (available in 2026) to meet the needs of AI supercomputing and massive data volumes. These high-speed ports – which can be aggregated into multi-terabit links – ensure that even the largest enterprises or HPC clusters can transfer data to Azure with dedicated, low-latency links. In parallel, Azure VPN Gateway performance reached new highs, with a generally available upgrade that delivers up to 20 Gbps aggregate throughput per gateway and 5 Gbps per individual tunnel. This is a 3× increase over previous limits, enabling branch offices and remote sites to connect to Azure even more seamlessly without bandwidth bottlenecks. Together, the ExpressRoute and VPN improvements give customers a spectrum of high-performance options for hybrid networking – from offices and datacenters to the cloud – supporting scenarios like large-scale data migrations, resilient multi-site architectures, and hybrid AI processing.

 

Simplified global networking: Azure Virtual WAN (vWAN) continued to mature as the one-stop solution for managing global connectivity. Virtual WAN introduced forced tunneling for Secure Virtual Hubs (now in preview), which allows organizations to route all Internet-bound traffic from branch offices or virtual networks back to a central hub for inspection. This capability simplifies the implementation of a “backhaul to hub” security model – for example, forcing branches to use a central firewall or security appliance – without complex user-defined routing.  

Empowering multicloud and NVA integration: Azure recognizes that enterprise networks are diverse. Azure Route Server improvements enhanced interoperability with customer equipment and third-party network virtual appliances (NVAs). Notably, Azure Route Server now supports up to 500 virtual network connections (spokes) per route server, a significant scale boost that enables larger hub-and-spoke topologies and simplified Border Gateway Protocol (BGP) route exchange even in very large environments. This helps customers using SD-WAN appliances or custom firewalls in Azure to seamlessly learn routes from hundreds of VNet spokes – maintaining central routing control without manual configuration. Additionally, Azure Route Server introduced a preview of hub routing preference, giving admins the ability to influence BGP route selection (for example, preferring ExpressRoute over a VPN path, or vice versa). This fine-grained control means hybrid networks can be tuned for optimal performance and cost. 

Resilience and reliability by design 

Azure’s growth has been underpinned by making the network “resilient by default.”  

We shipped tools to help validate and improve network resiliency. ExpressRoute Resiliency Insights was released for general availability – delivering an intelligent assessment of an enterprise’s ExpressRoute setup. This feature evaluates how well your ExpressRoute circuits and gateways are architected for high availability (for example, using dual circuits in diverse locations, zone-redundant gateways, etc.) and assigns a resiliency index score as a percentage. It will highlight suboptimal configurations – such as routes advertised on only one circuit, or a gateway that isn’t zone-redundant – and provide recommendations for improvement. Moreover, Resiliency Insights includes a failover simulation tool that can test circuit redundancy by mimicking failures, so you can verify that your connections will survive real-world incidents. By proactively monitoring and testing resilience, Azure is helping customers achieve “always-on” connectivity even in the face of fiber cuts, hardware faults, or other disruptions. 

Security, governance, and trust in the network 

As enterprises entrust more core business to Azure, the platform’s networking services advanced on security and governance – helping customers achieve Zero Trust networks and high compliance with minimal complexity. Azure DNS now offers DNS Security Policies with Threat Intelligence feeds (GA). This capability allows organizations to protect their DNS queries from known malicious domains by leveraging continuously updated threat intel. For example, if a known phishing domain or C2 (command-and-control) hostname appears in DNS queries from your environment, Azure DNS can automatically block or redirect those requests. Because DNS is often the first line of detection for malware and phishing activities, this built-in filtering provides a powerful layer of defense that’s fully managed by Azure. It’s essentially a cloud-delivered DNS firewall using Microsoft’s vast threat intelligence – enabling all Azure customers to benefit from enterprise-grade security without deploying additional appliances. 

 

Network traffic governance was another focus. The introduction of forced tunneling in Azure Virtual WAN hubs (preview) shared above is a prime example where networking meets security compliance 

Optimizing cloud-native and edge networks 

We previewed DNS intelligent traffic control features – such as filtering DNS queries to prevent data exfiltration and applying flexible recursion policies – which complement the DNS Security offering in safeguarding name resolution. Meanwhile, for load balancing across regions, Azure Traffic Manager’s behind-the-scenes upgrades (as noted earlier) improved reliability, and it’s evolving to integrate with modern container-based apps and edge scenarios. 

AI-powered networking: Both enabling and enabled by AI 

We are infusing AI into networking to make management and troubleshooting more intelligent. Networking functionality in Azure Copilot accelerates tasks like never before: it outlines the best practices instantly and troubleshooting that once required combing through docs and logs can be conversational. It effectively democratizes networking expertise, helping even smaller IT teams manage sophisticated networks by leveraging AI recommendations. 

The future of cloud networking in an AI world 

As we close out 2025, one message is clear: networking is strategic. The network is no longer a static utility – it is the adaptive circulatory system of the cloud, determining how far and fast customers can go. By delivering higher speeds, greater reliability, tighter security, and easier management, Azure Networking has empowered businesses to connect everything to anything, anywhere – securely and at scale. These advances unlock new scenarios: global supply chains running in real-time over a trusted network, multi-player AR/VR and gaming experiences delivered without lag, and AI models trained across continents. 

Looking ahead, AI-powered networking will become the norm. The convergence of AI and network tech means we will see more self-optimizing networks that can heal, defend, and tune themselves with minimal human intervention.  

 

Updated Dec 18, 2025
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