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Microsoft to Invest $3 Billion in India for Cloud and AI Development

Microsoft CEO Satya Nadella announced that the company will invest $3 billion in India over the next two years to expand cloud and AI infrastructure, build new datacenters, and train 10 million people in AI and cloud skills by 2030.

Speaking at the Microsoft AI Tour in Bengaluru, Nadella highlighted India’s growing role in AI innovation. He said this investment would help make India an AI-first nation and create opportunities for people and businesses across the country.

Expanding AI Infrastructure

Microsoft plans to increase its datacenter capacity in India to support the rising demand for AI technology. The company already has three operational datacenter regions and a fourth set to open in 2026. This expansion aligns with India’s goal of becoming a developed nation by 2047.

The company will continue its ADVANTA(I)GE India programme, which aims to train 10 million people in AI skills by 2030. So far, Microsoft has trained 2.4 million people, focusing on women and participants from smaller towns and cities.

According to Shri Jayant Chaudhary, Minister of State for Skill Development, partnerships with companies like Microsoft are essential for equipping India’s workforce with modern skills and supporting economic growth.

Supporting Start-ups and Innovation

Microsoft also launched an AI Innovation Network to help transform AI research into practical solutions for businesses. The company has partnered with SaaSBoomi to strengthen India’s AI and SaaS (Software as a Service) ecosystem, aiming to impact 5,000 start-ups, create 200,000 jobs, and attract $1.5 billion in investment over the next five years.

Microsoft is committed to reducing the environmental impact of its operations. New datacenters in India will use innovative cooling systems that don’t require water, and the company has secured renewable energy contracts to power its operations.

This $3 billion investment reflects Microsoft’s vision to support India’s digital transformation, create jobs, and build a skilled workforce. By expanding infrastructure and fostering innovation, Microsoft aims to help India become a global leader in AI.

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