Politics · India Bureau
India urges Microsoft to build data centres near power sources
The Indian government has asked Microsoft to locate future data centres closer to power generation facilities rather than coastal cable landing stations, citing cost efficiency benefits for both the company and the nation. The recommendation comes as Microsoft launches its fourth cloud region in Hyderabad as part of a USD 20.5 billion investment in India's digital infrastructure.
LSN India ·
Electronics and IT Secretary S Krishnan made the appeal during the formal inauguration of Microsoft's India South Central region in Hyderabad on Monday, emphasizing the economic advantages of such positioning. "It will be much more economical if you go closer to where the power itself is generating," Krishnan said, noting that building data centres near power sources would prove more cost-effective than establishing them near coastal cable landing hubs such as Chennai.
The new Hyderabad facility, which became generally available on August 6, represents Microsoft's fourth cloud region in India and strengthens the company's presence across the country's digital landscape. The expansion forms part of Microsoft's broader commitment to invest USD 20.5 billion in India's digital and artificial intelligence infrastructure over the coming years.
Krishnan indicated the government's commitment to facilitating expedited approvals for such infrastructure projects to serve both India's development needs and global technological requirements. The strategic push towards inland data centre placement aligns with India's broader objectives of building robust digital infrastructure while optimizing resource utilization and reducing operational expenses for technology companies operating in the country.