Microsoft Expands in Hyderabad with New Campus, AI Initiatives & ₹15,000 Cr Investment
Hyderabad, India – In a major boost to Hyderabad’s AI and technology ecosystem, Microsoft has inaugurated a state-of-the-art 1.1 million sq. ft campus in Gachibowli, the city’s IT hub. The facility, launched as part of Microsoft’s 25-year journey in Hyderabad, will accommodate 2,500 additional employees, with plans to hire 4,800 more professionals soon.
Microsoft & Telangana Govt Partner for AI Growth
As part of its commitment to advancing AI adoption in Telangana, Microsoft has partnered with the state government to train over 1.2 lakh individuals in AI technologies. The initiatives include:
✅ ADVANTA(I)GE TELANGANA – AI Foundations Academy to introduce AI education in 500 government schools, benefiting 50,000 students.
✅ AI-Industry Pro Program – Upskilling 20,000 industry professionals in AI.
✅ AI-Govern Initiative – Training 50,000 government officials in AI, cybersecurity, and digital productivity.
Microsoft will also set up an AI Centre of Excellence (AICoE) in collaboration with the Telangana government. The cloud-based AI Knowledge Hub will drive research, innovation, and best practices, benefiting thousands across the state.
₹15,000 Cr Investment in Hyperscale AI Data Centers
In a major announcement, Microsoft revealed its plans to double its investment in AI infrastructure, committing an additional ₹15,000 crore to expand hyperscale AI data centers in Telangana. This will make Hyderabad one of Microsoft’s largest data hubs globally.
Leadership Insights on the Expansion
🗣️ Chief Minister A Revanth Reddy
“Hyderabad and Microsoft have grown together, and this is just the beginning. With Hyderabad emerging as a technology powerhouse, our partnership with Microsoft will make the city an AI hub for India.”
🗣️ Rajiv Kumar, MD & President, Microsoft India Development Centre
“Our new Hyderabad campus underscores Microsoft’s commitment to Telangana’s innovation ecosystem and India’s AI-first vision. This expansion will enable us to develop next-generation AI products and drive digital transformation across the state.”
Strengthening Hyderabad’s AI & Startup Ecosystem
With the MoU signed between Microsoft and the Telangana government, the partnership aims to modernize government IT infrastructure, fast-track AI adoption, and empower startups with mentorship and AI tools.
The expansion is a direct outcome of Microsoft CEO Satya Nadella’s meeting with CM Revanth Reddy in January 2025, where both agreed to collaborate on AI-driven innovation.
The Road Ahead
Microsoft’s continued investment in Hyderabad reinforces its role in shaping India’s AI and digital economy. With AI skilling, research collaborations, and data center expansion, the city is set to become a global AI powerhouse.
