The updates include free access to private repositories that are targeted at small developer teams, and a combination of its cloud and on-premises enterprise offerings.
Open source and containers found themselves at the center of M&A activity this year.
Some in attendance at the computing giant's Ignite event thought that Azure innovation was lacking and that Google was a stronger long-term rival to AWS.
The software repository used the news to take a swipe at rival GitHub, which Microsoft purchased for $7.5 billion.
The move is tied to the company’s desire to further exploit Google's Kubernetes support. Although the timing is interesting given Microsoft's recent announcement that it is purchasing GitHub.
Developer concern over Microsoft's $7.5 billion acquisition of GitHub could provide a long-term opportunity in the open source Git repository community.
Past acquisitions by Microsoft have fueled heated responses on social media to the latest multibillion-dollar deal.
The deal better positions the software giant in the commercial cloud space against rivals AWS and Google.