IBM Corp. has announced it will invest $1.2 billion to produce around 15 new data centers in five different continents, according to Reuters.

The investment will help IBM expand its cloud services and reach more clients in new locations.

IBM confirmed the new centers will be in Canada, China, Dallas, Hong Kong, London, Mexico City, Japan, India and Washington D.C.

Once production is completed, the investment will bring IBM's data centers up to 40 in 2014. The investment will also provide "double cloud capacity" for SoftLayer, which leases online storage space to different businesses, according to Reuters.

SoftLayer was purchased by IBM in 2013 for $2 billion.

"This global expansion is aimed at accelerating into new markets based on growing client demand for high-value cloud," the company said in a statement, according to Reuters.

IBM has added 2,400 new clients since purchasing the Dallas-based SoftLayer.

Cloud computing allows companies to rent computing storage, power, and other services from data centers shared with other customers, according to Reuters.

Analyst believe cloud computing is "cheaper" and allows companies to be more flexible compared to maintaining their own.

Global cloud market could grow to an estimated $200 billion by 2020.

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