Microsoft's biggest India data center on track to go live in mid-2026, executive says
May 19, 2026
Microsoft's biggest India data center on track to go live in mid-2026, executive says
Microsoft's largest data center in India is on track to open by mid-2026, the company's India and South Asia president Puneet Chandok said on Tuesday, as the tech giant ramps up investment to meet "massive demand" for Azure cloud services and the $30-per-month Copilot 365 AI assistant in the country.
The Hyderabad facility will be Microsoft's biggest in India, though exact capacity was not disclosed. The company announced late last year that it would invest $17.5 billion in India — its largest outlay in Asia — on top of $3 billion pledged at the start of 2025. India, with more than 1 billion internet users and deep tech talent, is seen by Microsoft as a potentially profitable AI market.
Major IT firms including Infosys, Cognizant, and Tata Consultancy Services are among Copilot customers, each with about 50,000 licenses. Microsoft employs over 22,000 people in India, but Chandok noted that hiring for AI development is becoming tougher as demand for talent exceeds supply, creating a "war for talent" similar to global markets. India operations are also contributing to AI features Microsoft is rolling out worldwide.
Source: Reuters
