Hyderabad: In a major boost to the city's IT infrastructure, Microsoft Corporation is set to expand its data centre operations by acquiring an additional 40 acres of land, worth Rs 267 crore in the Kothur-Shadnagar area.
This follows the tech giant's previous land acquisitions in Kothur, Chandanvelli, and Elikatta villages near Shadnagar, where construction of a large-scale data centre is already underway. The land, located around 40 km away from Hyderabad’s main city was acquired from Sai Balaji Developers.
Key Expansion Plans:
- Current Projects: Microsoft has already acquired 22 acres in Elikatta and is in the process of building a data centre there. The company has signed agreements with the Telangana government to further acquire land in Chandanvelli and Kothur.
- Investment Commitment: Microsoft has committed Rs. 15,000 crores to develop these data centres over the next 15 years. This phased development plan is aimed at meeting the growing data needs of businesses and consumers in India.
- Future Land Acquisition: Talks are ongoing for the acquisition of an additional 40 acres, with the deal expected to conclude within the next 1-2 months, signalling Microsoft's ambition to scale up its data centre operations in Hyderabad.
Boost for Hyderabad's IT Industry:
- This expansion is seen as a significant development for Hyderabad’s IT industry, which is expected to benefit from the increased capacity and infrastructure. The demand for high-capacity data centres has been surging due to the growing consumption of data across sectors, driving companies like Microsoft and Amazon to invest heavily in this segment.
- With Microsoft’s large-scale investment, Hyderabad is poised to become a critical hub for data centres in the coming decade, attracting further foreign and domestic investment in the IT sector.
Microsoft aims to expand its data centres in response to India's growing need for cloud computing services. Cloud-based services are becoming more and more popular among businesses in a variety of industries for disaster recovery, application hosting, and data storage. Initiatives for digital transformation, rising internet penetration, and the widespread use of mobile devices are some of the elements driving this trend.
Microsoft wants to get a bigger share of this growing industry by building more data centres in India. With their wider network of data centres, they would be able to provide more reliable and dispersed cloud services to meet the unique requirements of Indian enterprises.
Consequently, this will enable enterprises to fully utilize cloud computing's potential for innovation, scalability, and cost reduction. Microsoft's choice of making significant investments in Hyderabad's data centre infrastructure.
India’s data centre market is flourishing like any other, with Nasscom predicting global investments to reach $200 billion annually by next year. India is expected to draw around $5 billion annually by 2026.
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