CNN Central News & Network-ITDC India Epress/ITDC News Bhopal: India’s data centre sector is gaining new momentum amid rising demand for artificial intelligence and cloud services. Microsoft has launched the India South Central cloud region in Hyderabad, the company’s fourth cloud region in India. Microsoft’s cloud regions are already operational in Pune, Chennai and Mumbai.

According to Microsoft, India currently has about 2 gigawatts of data centre capacity, which is estimated to reach 12 to 14 gigawatts by 2035. The company said India produces around 20 percent of the world’s data, while its share in global data centre capacity is about 3 percent. The new Hyderabad region has been designed for advanced AI workloads. It has three separate availability zones, with independent power, cooling and networking arrangements. Microsoft has said it aims to develop it as a strategic hub for Asia and the Global South.

Private investment in data centre expansion in India is also increasing. According to Microsoft, more than $100 billion in private capital has been committed to the country’s data centre construction sector. The government is also emphasising investment and policy support to expand AI and digital infrastructure. The expansion of data centres is expected to increase capacity for AI, cloud computing, digital services and local data storage. At the same time, electricity availability and cost are becoming an important part of this expansion. The government has suggested that future data centres be set up close to power generation centres.


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