Microsoft Turns India Into an AI Infrastructure Hub for the Global South
The new Hyderabad cloud region is live as Microsoft expands AI-ready infrastructure, sovereign cloud options, and regional connectivity.
Microsoft has launched its fourth cloud region in India, with the new India South Central region in Hyderabad now live and designated as a strategic hub for Asia and the Global South. The company says its cloud regions across India are now equipped with AI-capable hardware and infrastructure for advanced AI workloads.
The announcement came at Microsoft's AI Infrastructure Summit in New Delhi on September 21. India South Central uses a three-zone architecture designed for expansion and launches with a broad portfolio of Azure services, while additional Azure and AI capabilities are planned for the region.
Microsoft Expands AI Infrastructure Across India
Microsoft says the Hyderabad region is part of its $20.5 billion commitment to India and is already being used by enterprises and critical infrastructure organizations including Adani Group, Bajaj Finserv, HDFC Bank, and PB Pay. The company also says its India cloud regions provide capabilities aligned with MeitY guidelines and are designed to support applicable requirements under India's DPDP framework and sector-specific expectations from authorities such as the RBI and CERT-In.
The infrastructure is also designed around lower water use. Microsoft says high-efficiency mechanical cooling at India South Central provides effectively zero water use for cooling. The company says the region operates with zero-water cooling as part of its broader environmental commitments.
Hyderabad Region Extends Beyond Cloud Capacity
Microsoft is positioning India South Central as more than a domestic cloud region. The company says the hub can support customers across South Asia and help develop technology for markets across the Global South. That strategy also includes the planned 3,600-kilometre India-Southeast Asia submarine cable, which will connect India, Malaysia, and Singapore and is targeted to enter service in 2029.
Microsoft's expansion also fits its broader enterprise AI deployment efforts. Its existing Microsoft Frontier AI deployment initiative focuses on moving enterprise AI from experimentation toward production, while its work with AI model providers such as Anthropic on Microsoft's Maia 200 chips shows how compute infrastructure is becoming a larger part of the AI platform stack.
Microsoft also says Microsoft Elevate India has equipped more than 10 million Indians with AI skills toward a goal of 20 million by 2030. India South Central is now operational, with additional Azure and AI services expected to roll out over the coming months.