Microsoft’s India South Central cloud region in Telangana to serve as a strategic hub for Asia and Global South

Hyderabad, September 24, 2026: Microsoft today welcomed Duddilla Sridhar Babu, Minister for Information Technology, Electronics and Communications, Telangana, to its newest India South Central datacenter region in the state. The minister joined Microsoft India leaders in touring the facility and participating in a ceremonial ribbon cutting, recognizing the growing role of Telangana in India’s cloud and AI economy.
The visit follows Microsoft’s announcement in New Delhi earlier this week that India South Central is now live and has been designated a strategic hub for Asia and the Global South. This is Microsoft’s fourth cloud region in India and features a resilient three-zone architecture designed to expand as customer demand grows. As a strategic hub, it is designed to support long-term capacity expansion, resilience and AI innovation, helping meet growing demand across India and the wider region.
Speaking at the event, D. Sridhar Babu, Hon’ble Minister for Information Technology, Electronics & Communications, Industries & Commerce, and Legislative Affairs, Government of Telangana, said, “I warmly welcome Microsoft’s continued commitment to Telangana and Hyderabad. Its India South Central region adds real strength to our ambition to make Telangana India’s innovation capital. I am proud that Microsoft is helping build one of India’s most advanced technology clusters here. We are seeing strong investment in hyperscale and AI infrastructure, while global innovation centres and GCCs continue to grow rapidly. This is bringing together the infrastructure, talent, academia and innovation we need to build a truly global technology ecosystem. We are building on this foundation with an ambition for Telangana to reach 5 GW of datacentre capacity by 2029 and attract around $30 billion in investment. Microsoft’s investment is an important part of this journey and will further strengthen Hyderabad’s ability to power the next generation of AI, cloud and digital innovation for India and the world.”
Rajiv Kumar, Managing Director and President, Microsoft India Development Centre, said, "Hyderabad has been an important part of Microsoft's journey in India for over two decades. From engineering innovation to cloud infrastructure and AI, the city has demonstrated the talent, ambition, and ecosystem that will shape the future of technology. Our focus extends beyond digital infrastructure. We are committed to creating opportunities for people and communities through skilling, workforce development, entrepreneurship, and sustainability initiatives. We are working with local partners on water replenishment through groundwater recharge, rainwater harvesting, and watershed resilience, to support long-term sustainable growth of the region. Technology creates its greatest impact when it contributes to lasting economic opportunities, strengthens local communities, and helps build a more resilient future.”
Puneet Chandok, President, Microsoft India and South Asia, said, India's AI opportunity belongs to those who move from intent to action — and in Hyderabad, we have. India South Central is live: our fourth cloud region in India, the largest hyperscale cloud footprint in the country, with some of India's most trusted institutions already building on it. Hyderabad gave us world-class talent, a thriving innovation ecosystem and AI-ready cloud infrastructure, the city is becoming an important foundation for the next generation of Frontier Firms across industries. As organizations reimagine how they build, operate and grow with AI, Hyderabad will help power that transformation, not only for India but for customers across the region. We are proud to be investing in the capabilities, talent and infrastructure that can help make India an AI-first nation."