Microsoft Invests $17.5 Billion in India This announcement builds on the $3 billion investment committed earlier this year

By Shrabona Ghosh

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Microsoft Chairman and CEO Satya Nadella’s meeting with Prime Minister Narendra Modi

Microsoft announced its largest investment in Asia — $17.5 billion over four years (CY 2026 to 2029) — to advance India's Cloud and artificial intelligence (AI) infrastructure, skilling and ongoing operations.

"Thank you, PM @narendramodi ji, for an inspiring conversation on India's AI opportunity. To support the country's ambitions, Microsoft is committing US$17.5B—our largest investment ever in Asia—to help build the infrastructure, skills, and sovereign capabilities needed for India's AI first future," Satya Nadella, Microsoft CEO, said on social media platform X.

This investment builds on the US$3 billion investment announced earlier this year, which Microsoft is on track to spend by the end of CY2026.

Microsoft will have the largest hyperscale presence in India with its new datacenter going live mid-2026. As technology becomes a catalyst for inclusive growth and economic transformation, India is emerging as a frontier AI nation.

The company is also doubling its skilling commitment in India to 20 million by 2030.

Today's announcement follows Chairman and CEO Satya Nadella's meeting with Prime Minister Narendra Modi, ahead of the CEO's India AI tour. In their meeting, both leaders discussed the country's AI roadmap and growth priorities.

The tech heavyweight investments in India focuses on three pillars—scale, skills and sovereignty.

Puneet Chandok, president, Microsoft India and South Asia, said, "Microsoft has been part of India's fabric for more than three decades. As the nation moves confidently into its AI-first future, we are proud to stand as a trusted partner in advancing the infrastructure, innovation and opportunity that can power a billion dreams."

Building on the US$3 billion investment announced in January 2025, the new US$17.5 billion commitment and deep partnership across India's technology ecosystem are focused on turning India's AI ambition into impact for every citizen.

"This transformation is anchored on three pillars: hyperscale infrastructure to run AI at scale, sovereign-ready solutions that ensure trust, and skilling programs that empower every Indian to not just join the future but shape it," Chandok added.

Shrabona Ghosh

Senior Correspondent

I write on corporates and lead a project called 'Corporate Innovations', wherein I cover large enterprises across technology, auto, FMCG and avaition. I engage in CEO dialogues and run my podcast series: The Big Bosses. You can reach out to me at gshrabona@entrepreneurindia.com
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