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Microsoft launches Hyderabad cloud region to power India's AI economy, strengthen enterprise adoption

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New Delhi | August 6, 2026 6:57:33 PM IST
Microsoft announced the launch of its India South Central cloud region in Hyderabad, Telangana, to support India's growing artificial intelligence (AI) adoption and help businesses scale their digital transformation efforts.

The new cloud region will enable customers to access eligible Microsoft Cloud services and run workloads from Hyderabad, offering improved security, reliability and compliance. With this launch, Microsoft now has four cloud regions in India, giving it the country's largest hyperscale cloud presence.

Built to support AI applications, critical systems and digital services, the India South Central region includes three Availability Zones designed to meet India's regulatory and infrastructure requirements.

Puneet Chandok, President, Microsoft India and South Asia, said the new region would help businesses move faster from AI experimentation to creating long-term value.

"Whether it is a Frontier Firm already running AI at scale or an enterprise taking its first steps, the question we hear most often is: how do we move faster from experimenting with AI to creating durable business value with AI?" Chandok said.

He added that the new region would provide secure infrastructure closer to businesses and data sources, strengthening Microsoft's commitment to India's cloud and AI growth.

Microsoft said the region has already seen strong interest from Indian enterprises, including Adani Group, Bajaj Finserv, HDFC Bank and PB Pay.

The company reported double-digit Azure growth in India over the past two years and expects further momentum as the Hyderabad region becomes fully operational.

The launch comes as businesses across sectors such as technology, financial services and manufacturing increasingly adopt AI and cloud services.

Microsoft said the new facility also includes advanced infrastructure features, including mechanical cooling systems designed for zero water consumption.

The company reiterated its commitment to expanding digital skills in India, aiming to train 20 million Indians in AI skills by 2030. (ANI)

 
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