Microsoft Taps Hyderabad as Asia, Global South Cloud Hub

Microsoft has designated its new India South Central datacentre region in Hyderabad as a strategic hub for Asia and the Global South. The company made this announcement at its AI Infrastructure Summit, where Puneet Chandok, president of Microsoft India and South Asia, said that all of Microsoft's datacentre regions in India are now AI-enabled.

The India South Central region is built on a three-zone architecture, with additional Azure and AI services planned for the region in the coming months. This region forms part of Microsoft's $20.5 billion investment commitment to India. Adani Group, Bajaj Finserv, HDFC Bank, and PB Pay have already signed up to use it.

A study by Boston Consulting Group estimated that the datacentre buildout in India could generate $140 billion to $200 billion in economic output for the country through 2030, Microsoft said. Jitin Prasada, minister of state for commerce and industry, and electronics and information technology, said: 'India's ambition is to be an AI-first nation.'

Microsoft is also a consortium partner in the planned India-Southeast Asia (I-2SEA) submarine cable system, which will link India, Malaysia, and Singapore. The company aims to strengthen regional connectivity and support growing AI, cloud, and hyperscale demand.