Hyderabad: Microsoft's chief executive officer Satya Nadella said on Tuesday that the company will invest USD 3 billion (about Rs 25,700 crore) to expand its cloud computing and artificial intelligence capabilities in India. Addressing a conference attended by startup founders and executives from technology firms, Nadella said the tech giant will also train 10 million people in AI skills in India by 2030.
Nadella is the latest tech tycoon to visit India, a nation of 1.4 billion people and home to millions of programmers and technology service providers like Tata Consultancy Services (TCS), Infosys and Wipro. Since the country is emerging as an AI battlefront, Nvidia Chief Jensen Huang, AMD's Lia Su, and Meta's Chief AI Scientist Yann LeCun also visited India in recent months.
Microsoft's $3 billion investment in India
Nadella announced a USD 3 billion investment in India, describing it as the "single-largest expansion" in the country. He expressed excitement about the rate of AI adoption in India. According to a company statement, the investment and skill development initiative will be rolled out over the next two years and will include the establishment of new data centres.
Currently, Microsoft operates three data centre regions in India and plans to launch a fourth by 2026.
Nadella mentioned that India is rapidly emerging as a leader in AI innovation, creating new opportunities nationwide. He highlighted that the investments in infrastructure and skill development being announced reaffirm the company's commitment to making India AI-first, ensuring that people and organizations throughout the country will benefit significantly.
Microsoft's presence in India
Microsoft offers its cloud computing services under the Azure brand, with over 60 Azure regions encompassing more than 300 data centres worldwide.
Nadella expressed enthusiasm about Microsoft's presence in India, highlighting regions such as Central India, South India, West India, and South Central India, along with capacities developed in collaboration with Jio. He noted significant regional expansion.
Microsoft aims to equip 10 million more people in India with AI skills by 2030 through the ADVANTA(I)GE INDIA initiative. A student, a digital productivity trainer, and a review officer in India share their success stories from digital skilling programs. https://t.co/T6B8Cle4K4 pic.twitter.com/tqKlgJkAql
— Microsoft (@Microsoft) January 7, 2025
During his visit to India in February 2024, Nadella announced the ADVANTA(I)GE India initiative, aiming to provide AI skilling opportunities to 2 million people by 2025, focusing on individuals in smaller cities and rural areas.
On Tuesday, he unveiled the next milestone-- equipping 10 million more Indians with essential AI skills by 2030. ADVANTA(I)GE INDIA is part of Microsoft's Global Skills for Social Impact program, with training conducted in partnership with various stakeholders, including government bodies, non-profit organisations, corporate partners, and local communities.
Satya Nadella meets the Prime Minister of India
On Monday in New Delhi, Microsoft Chairman Nadella met with Prime Minister Narendra Modi. Nadella mentioned that the Prime Minister shared his vision for the artificial intelligence mission, India stack, and the country's entrepreneurial aspirations.
Thank you, PM @narendramodi ji for your leadership. Excited to build on our commitment to making India AI-first and work together on our continued expansion in the country to ensure every Indian benefits from this AI platform shift. pic.twitter.com/SjfiTnVUjl
— Satya Nadella (@satyanadella) January 6, 2025
Nadella had posted a picture of the meeting on X (formerly Twitter), expressing excitement about building on Microsoft's commitment to making India AI-first. Prime Minister Modi responded positively, acknowledging Microsoft's ambitious expansion and investment plans in India.
Way forward for Microsoft in the country
Microsoft is heavily investing in its AI infrastructure and data centres globally, with plans to spend about $80 billion this year. During his last visit, the Microsoft chairman emphasised the significant contributions of India's developer community in creating innovative solutions. He also announced the expansion of the "Code; Without Barriers" program to India, aiming to skill and certify 75,000 women developers in 2024.
Nadella predicted future discussions on the correlation between GDP growth and efficiency levels, focusing on energy consumption per token per dollar. He highlighted Microsoft's effort to build world-class AI infrastructure, crucial for innovation. Nadella also highlighted the company's extensive regional expansion efforts in India and reiterated Microsoft's mission to empower every person and organisation in the country.
He added that ensuring the human capital of the country can scale and leverage the immense opportunities and potential that technology offers is crucial. He emphasised the company's excitement in announcing its longstanding commitment to train 10 million people in AI skills by 2030.
