Hyderabad, September 23 (APAC Media): Microsoft has launched its fourth cloud region in India, with the new India South Central datacenter region in Hyderabad designed to support advanced artificial intelligence (AI) and cloud workloads.
The announcement was made at the Microsoft AI Infrastructure Summit in New Delhi, where Microsoft designated Hyderabad as a strategic hub serving Asia and the Global South.
The new region features a resilient three-zone architecture and is designed to support Microsoft’s Azure and AI services as additional capabilities become available. Organisations including Adani Group, Bajaj Finserv, HDFC Bank, and PB Pay have already signed up to use the new infrastructure.
$20.5 Billion India Investment
Microsoft said the Hyderabad region strengthens its $20.5 billion investment in India, expanding the country’s local cloud and AI infrastructure.
According to a Boston Consulting Group study cited by Microsoft, the expansion of India’s datacentre ecosystem could generate between $140 billion and $200 billion in economic output by 2030.
The new region also strengthens Microsoft’s Sovereign Public Cloud foundation in India, offering local capacity, data residency options, availability zones, and governance capabilities.
Microsoft said its Indian cloud regions provide capabilities aligned with MeitY guidelines and are designed to help customers address requirements under the Digital Personal Data Protection framework, along with sector-specific expectations from the RBI and CERT-In.
Zero-Water Cooling and AI Skilling
The Hyderabad datacentre region operates with zero-water cooling, while Microsoft is working with local partners on groundwater recharge, rainwater harvesting, and watershed resilience.
The company said its Elikatta groundwater-recharge programme had added around 5 million litres of recharge capacity by June 2026.
Alongside infrastructure expansion, Microsoft announced that more than 10 million Indians have gained AI skills through Microsoft Elevate India. The company aims to skill 20 million people by 2030, with around 25% of learners already progressing beyond foundational AI courses and earning credentials for further learning pathways.
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