Microsoft Speeds Up India’s Largest Data Center Project in Hyderabad!

Global technology giant Microsoft is accelerating the construction of India’s largest and most prestigious data center campus in Hyderabad. Microsoft India and South Asia President Puneet Chandok revealed that the massive project, being developed in South India’s leading IT hub, is progressing rapidly and is expected to become operational within the next few months. The company is fast-tracking the project amid rising demand for Artificial Intelligence (AI) and cloud computing services across India. Microsoft’s Azure cloud services and Copilot 365 AI assistants are witnessing strong market adoption in the country, driving the need for expanded infrastructure. India, one of the fastest-growing IT markets globally with over one billion internet users, has become a key focus area for Microsoft’s long-term investments.

As part of its ₹1.45 lakh crore investment plan announced last year, Microsoft is allocating a major portion toward expanding data center infrastructure in Hyderabad. The company already operates data centers in Pune, Chennai, and Mumbai, but the Hyderabad facility is set to become its largest in India. The new infrastructure is also expected to play a vital role in complying with India’s Digital Personal Data Protection Act, which mandates local storage of user data. Microsoft is constructing large data center campuses near Shadnagar, Mekaguda, and Chandanvelly on extensive land parcels. Leading Indian IT firms such as Tata Consultancy Services, Infosys, and Cognizant are also significantly increasing the adoption of Microsoft’s AI-powered Copilot services, further boosting demand for advanced cloud infrastructure.