Microsoft on Thursday formally opened its India South Central cloud area in Hyderabad, its largest information middle hub within the nation and its fourth cloud area in India after Pune, Chennai and Mumbai.
The new facility contains three availability zones and is designed to help AI purposes and different mission-critical workloads whereas assembly native information residency, safety and compliance necessities. With the launch, Microsoft says it now has the biggest hyperscale cloud presence in India. The firm additionally operates two information facilities in partnership with Jio.
The enlargement is a part of Microsoft’s broader push to construct AI infrastructure in India, the place it has dedicated about $20.5 billion in investments introduced throughout 2025.
Early clients embrace Adani and HDFC Bank
Microsoft has already lined up main Indian corporations as early customers of the Hyderabad area, together with Adani Group, HDFC Bank, Bajaj Finance and PB Pay. The firm mentioned clients plan to make use of the infrastructure to enhance operational resilience, increase cloud capability and help AI initiatives.
Puneet Chandok, president of Microsoft India and South Asia, mentioned, “The question we hear most often is: how do we move faster from experimenting with AI to creating durable business value with AI? That requires trusted infrastructure close to where data lives, teams work, and decisions are made.”
AI demand is driving the enlargement
Microsoft mentioned Azure has recorded robust double-digit development in India for the previous two years. The firm additionally highlighted rising adoption of Microsoft 365 Copilot throughout main Indian know-how companies, with Infosys, TCS, Wipro and LTIMindtree collectively signing up for greater than 400,000 Copilot seats.
The Hyderabad area is meant to offer Indian companies extra native capability for AI workloads and cloud providers as enterprise AI initiatives transfer from pilot applications into large-scale deployments.
Microsoft is not the one cloud large chasing India’s AI growth. Alphabet and Amazon are each pouring cash into Indian information middle capability, drawn by a market of greater than 1 billion web customers and a deep bench of tech expertise, in response to Reuters.
Research agency IDC initiatives India’s public cloud providers market will hit $45.7 billion by 2030, with AI spending rising at almost double that charge, the Economic Times reported.
With Microsoft, Google, and Amazon all committing billions to India, the subsequent part of competitors might be measured as a lot in information middle capability and enterprise adoption as in AI benchmarks.
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