"Microsoft plans to invest $17.5 billion in India over the next four years, expanding its AI and cloud footprint in the South Asian nation, whose vast online and smartphone user base is turning it into a critical battleground for global tech companies. Announced on Tuesday, the investment - Microsoft's largest in Asia - will fund new data centers, AI infrastructure, and skilling programs from 2026 to 2029, building on the $3 billion the company committed in India in January."
"The Redmond-based company also said it will open a new data center region in Hyderabad by mid-2026, its largest in India, comprising three availability zones - a footprint the company described as roughly the size of two Eden Gardens stadiums. Microsoft said it will continue expanding its three existing data-center regions in Chennai, Hyderabad, and Pune. As part of the push, Microsoft also announced it will work with the Ministry of Labour and Employment to integrate advanced AI capabilities into two of its flagship digital public platforms - e-Shram and the National Career Servic"
Microsoft will invest $17.5 billion in India from 2026 to 2029 to expand AI and cloud capabilities, build new data centers, develop AI infrastructure, and fund skilling programs. The investment follows a prior $3 billion commitment and represents Microsoft's largest investment in Asia. Microsoft will open a new multi-availability-zone data center region in Hyderabad by mid-2026 and will continue expanding regions in Chennai, Hyderabad, and Pune. The push targets India’s large online and smartphone user base, supports digital infrastructure and AI adoption across sectors, pressures rival cloud providers, and includes AI integration into e-Shram and the National Career Service platforms.
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