Microsoft announces intent to establish India datacenter region in Hyderabad

Microsoft has recently announced its intent to establish its latest data center region in Hyderabad, Telangana. This strategic investment is aligned with Microsoft's commitment to helping customers thrive in a cloud and AI-enabled digital economy and will become part of the world’s largest cloud infrastructure.

Customer demand for the cloud as a platform for digital transformation, driving economic growth and societal progress across India, is increasing. According to IDC, Microsoft datacenter regions in India contributed $9.5B in revenue to the economy between 2016 and 2020. Beyond GDP impact, the IDC report estimated 1.5 million jobs were added to the economy, including 169,000 new skilled IT jobs.

Rajeev Chandrasekhar, Minister of State for Skill Development & Entrepreneurship and Electronics & Information Technology of India shared, “Today’s commitment to the people and businesses of India will position the country among the world’s digital leaders. A Microsoft datacenter region provides a competitive advantage to our digital economy and is a long-term investment in our country’s potential. The cloud is transforming every industry and sector. The investment in skilling will empower India’s workforce today and into the future.”

The Hyderabad datacenter region will be an addition to the existing network of three regions in India across Pune, Mumbai, and Chennai. It will offer the entire Microsoft portfolio across the cloud, data solutions, artificial intelligence (AI), productivity tools, and customer relationship management (CRM) with advanced data security, for enterprises, start-ups, developers, education, and government institutions.

To support customer needs for high availability and resiliency, Microsoft launched Azure Availability Zones in December 2021 in its Central India datacenter region. This forms the most extensive network of datacenters in the country with disaster recovery provisions and coverage of seismic zones.

Stephanie Trautman, Chief Growth Officer, Wipro said, “Wipro and Microsoft have been working together for more than two decades to help enterprises drive business growth, enhance customer experience, and provide connected insights. Microsoft’s new datacenter in India will help advance our collaboration and drive ongoing innovation for shared client relationships. As Indian enterprises continue to transition and expand their involvement in cloud computing, this facility will provide the critical infrastructure foundation for developers and organizations of all sizes to create new customer experiences, support their business, and harness innovation at scale.”

Creating opportunities for innovation in a digital economy, through skilling

Telangana is emerging as a ‘challenger’ in the Indian IT sector for its software exports registering an increase by seven per cent year-over-year to reach Rs. 5 trillion ($67.4 billion) in FY21.

In the city of Hyderabad and across the state of Telangana, Microsoft will enable opportunities for local businesses to innovate with Microsoft Cloud services. Microsoft is partnering closely with the government of Telangana to accelerate the adoption of cloud, AI, IoT and cybersecurity solutions for governance. This includes efforts to upskill government officials in next-generation technology, supporting young girls to build careers in cybersecurity through the CyberShikshaa program, and partnering on skilling programs like DigiSaksham with the Ministry of Labour and Employment to equip job seekers from rural areas with technical skills.