Microsoft investing $17.5 billion in India for AI and cloud infrastructure

Investment Announcement - Microsoft announced its largest-ever investment in Asia, committing $17.5 billion in India over the next four years to enhance the country's cloud and AI infrastructure [1] - This investment surpasses Microsoft's earlier commitment of $3 billion made earlier this year for cloud and AI infrastructure, new data centers, and workforce skilling over the next two years [5] Competitive Landscape - The announcement highlights the increasing competition among major technology companies to expand in India, a rapidly growing digital market [2] - Google also announced a $15 billion investment in India to establish its first AI hub, which will be one of its largest globally [2] Strategic Goals - Microsoft aims to help India build the necessary infrastructure, skills, and sovereign capabilities for its AI future [1] - The Indian government has set ambitious targets to become a global hub for AI and semiconductor manufacturing, introducing financial incentives to attract global tech companies [4] Operational Plans - Microsoft plans to scale up its operations in India, with a new data center expected to go live in mid-2026, establishing its largest hyperscale presence in the country [6] - The company has been operating in India for over three decades and currently employs more than 22,000 people, focusing on expanding cloud and data center capacity [5] Leadership Engagement - CEO Satya Nadella's visit to India includes discussions with policymakers and participation in AI-focused events in major cities like Bengaluru and Mumbai [3]