Microsoft Unveils $3 Billion Cloud and AI Innovation Plan for India

Satya Nadella, Microsoft CEO

During his visit to India, Microsoft chairman and CEO Satya Nadella today announced the company’s plans to invest US $3 billion in India in cloud and AI infrastructure and skilling over the next two years, including the establishment of new datacenters. This investment aims to accelerate AI innovation in India, which is pivotal for achieving Hon’ble Prime Minister Narendra Modi’s vision of becoming a developed nation (Viksit Bharat) by 2047. Microsoft will also support the country’s long-term competitiveness by training 10 million people over the next five years with AI skills, as part of the second edition of its ADVANTA(I)GE India program.

Satya Nadella, chairman and CEO, Microsoft said, “India is rapidly becoming a leader in AI innovation, unlocking new opportunity across the country. The investments in infrastructure and skilling we are announcing today reaffirm our commitment to making India AI-first, and will help ensure people and organizations across the country benefit broadly.”

Puneet Chandok, president, Microsoft India and South Asia said, “In the last 12 months Microsoft has been a copilot to making AI a reality in India, taking it from boardrooms to classrooms, commerce to communities, and finance to farmers. Today’s announcement strengthens our belief in India’s potential and our resolve to equip the country with the resources and future-ready skills needed to excel in the global marketplace. We will continue to use AI to unlock possibilities for the next few decades and ensure communities across the country have access to the compute they need to prosper in the AI era.”

Making India AI-first and advancing AI responsibly

Microsoft’s approach to responsible AI is grounded in six core principles: fairness, reliability and safety, privacy and security, inclusiveness, transparency, and accountability. This investment reflects Microsoft’s expanding role and responsibility as a leader in AI. Microsoft is working to expand broad access to its AI technology that empowers organizations and individuals to develop and use AI in ways that will serve the public good. Microsoft will operate its AI services and infrastructure under Microsoft’s AI Access Principles and in accordance with industry-leading responsible AI principles.

Microsoft will expand its cloud and AI infrastructure across datacenter campuses in the country. Microsoft already has three datacenter regions in the market, and the fourth ready to go live in 2026. This investment aims to develop a scalable AI computing ecosystem to meet the growing demands of India’s rapidly expanding AI start-ups and research community.

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