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Microsoft Opens Massive Data Centre In Telangana. Why Now?

24 Sept4 min read· 📷 Angel Bena

Microsoft has officially commissioned its new India South Central data centre region in Telangana, enhancing its cloud services for businesses and public sector entities. This move supports India's digital transformation and caters to surging demand for data storage and .

5 GW

Telangana Data Centre Capacity Target

Currently: Under 1 GW→5 GW

⏳ Time Machine

How today’s news fits into the bigger picture

  1. February 2022

    Microsoft Announces Hyderabad Region

    Microsoft announced plans to establish its largest data centre region in Hyderabad, Telangana, outlining its vision to support India's cloud and digital growth. This marked a significant commitment to the state.

  2. October 2023

    Telangana Unveils Data Centre Policy

    The Telangana government introduced a new data centre policy offering incentives and a streamlined approval process to attract further investments in the sector, aiming to become a leading data centre hub.

  3. August 2025

    Digital Personal Data Protection Act

    India implemented the Digital Personal Data Protection Act (DPDP Act), which strengthened the legal framework for data processing and residency, further increasing the demand for in-country data infrastructure.

  4. Today

    Microsoft's India South Central data centre region in Telangana is now live.

  5. What happens next?

    Telangana aims to achieve 5 GW of data centre capacity and attract $30 billion in AI and digital infrastructure investment by 2029.

Microsoft has announced that its India South Central data centre region in Telangana is now fully operational. This new facility significantly expands Microsoft's cloud capacity in India, providing enhanced services for data storage, processing, and AI capabilities to both public and private sector clients. The opening comes amidst a booming demand for cloud infrastructure, driven by India's rapid digital adoption and the increasing imperative for data localization. Telangana aims to become a major data centre hub, targeting 5 GW of capacity and around $30 billion in AI and digital infrastructure investment by 2029.

💭 If you're wondering…

Data localization is the practice of storing data within a country's borders. It's important for regulatory compliance, national security, and to ensure data is subject to local laws, particularly for sensitive personal data.

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