Microsoft launches fourth cloud region in Hyderabad
Tech giant Microsoft on Thursday announced the general availability of its fourth cloud region in India, located in Hyderabad, giving customers the choice to run eligible Microsoft Cloud services and workloads from the city.
The new ‘India South Central’ cloud region makes Microsoft the provider with the largest hyperscale cloud presence in the country, adding to its existing regions in Pune (central India), Chennai (south India), and Mumbai (west India).
The launch is part of Microsoft’s massive $20.5-billion investment commitment to India’s digital and AI infrastructure. This includes a $3-billion investment announced in January 2025, and a subsequent $ 17.5 billion commitment was made in December 2025.
“Making India AI-first is about bringing together the scale to support growth, the skills to unlock value, the sovereignty organisations expect, and the security they depend on. We are not investing in infrastructure to keep up with demand. We are investing in India’s ability to set the pace for the world,” Puneet Chandok, President, Microsoft India and South Asia, said in a statement.
The Hyderabad facility comprises three availability zones and is designed to support mission-critical workloads with high resilience. It features next-generation zero-water cooling technology, built on the company’s goal to be water-positive by 2030.
The company stated that the region is already seeing strong demand from major Indian enterprises, including the Adani Group, HDFC Bank, Bajaj Finserv, and PB Pay.
The expansion comes at a time of rapid digital growth in the country. According to data from research firm IDC, India’s public cloud services spending is forecast to reach USD 45.7 billion by 2030, growing at an annual rate of 22.2 per cent, with AI spending expected to grow at double that pace.
