Microsoft on Thursday announced the general availability of its India South Central cloud region in Hyderabad, marking the launch of its fourth cloud region in the country as it seeks to meet rising demand for artificial intelligence (AI) and cloud services from enterprises.
The Hyderabad region comprises three availability zones, enabling customers to run eligible Microsoft Cloud services and workloads locally with enterprise-grade security, compliance and governance. Microsoft said the facility is designed to support mission-critical workloads while strengthening India’s sovereign-ready AI infrastructure.
With the addition of Hyderabad, Microsoft now operates cloud regions in Pune, Chennai, Mumbai and Hyderabad, giving it what it claims is the largest hyperscale cloud footprint in India. The company also operates two datacentres in partnership with Jio.
Microsoft said the Hyderabad region has already attracted early demand from enterprises including Adani Group, Bajaj Finserv, HDFC Bank and PB Pay.
“Making India AI-first is about bringing together the scale to support growth, the skills to unlock value, the sovereignty organisations expect, and the security they depend on. We are not investing in infrastructure to keep up with demand. We are investing in India’s ability to set the pace for the world,” said Puneet Chandok, President, Microsoft India and South Asia.
The Hyderabad launch builds on Microsoft’s previously announced investments of $3 billion in January 2025 and $17.5 billion in December 2025 to expand its cloud and AI infrastructure in India.
The company added that the new datacentre uses air-cooled chillers that consume no water for cooling, supporting Microsoft’s broader sustainability commitments.