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Microsoft launches Hyderabad cloud region to boost India’s AI

Blurb: Major Indian companies like the Adani Group and HDFC Bank have already adopted the new infrastructure.

Hyderabad

Microsoft on Thursday inaugurated its new India South Central cloud region in Hyderabad, marking the launch of its largest cloud infrastructure hub in the country as it seeks to accelerate artificial intelligence (AI) adoption and digital transformation across Indian enterprises.

The Hyderabad facility becomes Microsoft’s fourth cloud region in India, joining existing regions in Mumbai, Pune and Chennai. The company said the new region is designed to provide faster, more secure and low-latency cloud and AI services to businesses, government agencies and developers.

Microsoft said the cloud region will help meet rapidly growing demand for AI computing, data storage and advanced cloud services as organisations increasingly adopt generative AI technologies. Major Indian companies, including Adani Group and HDFC Bank, have already signed up to use the new infrastructure.

The launch is part of Microsoft’s broader commitment to invest about $20.5 billion in India to expand cloud infrastructure, AI capabilities and digital skilling initiatives. The company views India as a key global growth market due to its large digital user base, expanding technology ecosystem and skilled workforce.

The new cloud region is expected to support AI-driven innovation across sectors such as banking, healthcare, manufacturing, retail and public services while enabling organisations to meet data residency, security and regulatory requirements.

Industry experts believe the expansion will strengthen India’s position as a global AI and cloud computing hub amid intensifying competition among leading technology companies investing in advanced digital infrastructure.

Microsoft said the Hyderabad cloud region will play a central role in supporting enterprise AI adoption, improving operational efficiency and helping organisations deploy next-generation AI applications at scale, reinforcing India’s ambitions to become a leading digital economy.

BOX

Microsoft expands Indian cloud infrastructure

Microsoft’s strategic $20.5 billion investment in India accelerates generative AI adoption and meets rapidly growing demand for advanced cloud services. Major organizations like HDFC Bank and Adani Group have already signed up, driving multi-sector innovation and cementing India’s position as a premier global cloud computing hub.

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