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Microsoft Opens India South Central Cloud Region in Telangana

Microsoft with Telangana officials say the facility will serve as a hub for Asia and the Global South to speed AI adoption, support local skills, run with near‑zero water use

Overview

  • Microsoft formally opened the India South Central datacenter region in Telangana on Thursday, Sept 24, 2026, and designated it as a strategic hub for Asia and the Global South.
  • The facility uses a three‑zone architecture meant to boost resilience and allow stepwise expansion for high‑density AI workloads such as GPU compute.
  • Telangana set a target of 5 GW of hyperscale datacenter capacity by 2029 and officials cited roughly 300 MW currently operational with around 2 GW reported under development, figures that are published estimates rather than independently verified measurements.
  • Microsoft is launching local skilling and community efforts linked to the site, including a 600‑hour Data Center Academy with partners such as IIITH and YISU and a broader program Microsoft says has reached more than 22,400 people.
  • The company says the region operates with effectively zero water use for cooling and is funding groundwater recharge, rainwater harvesting and watershed work, a position that responds to local concerns about power and water as the state seeks roughly $30 billion in related investment and jobs growth.