The announcement comes as the software giant marks its 30th year in Ireland in 2015.
The new campus will be located in South County Business Park, Leopardstown, and it’s expected to bring all areas of the company under one roof. Microsoft currently employs about 1,200 people in Ireland.
Further details about the new campus will be revealed to staff at a company meeting later today.
A spokesperson for the company said that the total investment over Microsoft’s 30 year presence here has been around €1bn.
150 jobs will be created during the two-year construction period.