The Zhitong Finance App learned that as the global artificial intelligence (AI) competition continues to heat up, tech giants are speeding up to seize high-growth emerging markets. Microsoft (MSFT.US) opened its largest data center in India in Hyderabad on Thursday, and Adani Group and HDFC Bank became early users of the project. This move will help Microsoft seize a share in India's rapidly growing AI market.
The launch of this data center in south-central India enabled Microsoft to expand its cloud service area in India to four locations. Coupled with the already put into operation data centers in Pune, Chennai, and Mumbai, Microsoft's position as India's largest cloud computing service provider has been further strengthened.
The Windows system manufacturer promised to invest about 20.5 billion US dollars to expand its business in India, anchoring India's huge netizen base of over 1 billion and a rich pool of technological talents.
Microsoft said that its cloud computing business Azure has achieved double-digit revenue growth for two consecutive years in the Indian market.
Microsoft is also cooperating with Jio, a subsidiary of India's millionaire Mukesh Ambani, to jointly operate two data centers in India.
Microsoft India President Puneet Chandok said, “Relying on AI to create value, we need to deploy trustworthy infrastructure close to data storage, team work, and business decisions.” He added that the new facility is a key part of this layout.
India's huge user base and AI market potential have attracted global tech giants to join the game, and competition on the racetrack is becoming increasingly heated. Leading companies such as Google's parent company Alphabet and Amazon are also increasing investment in data centers in India.
However, the infrastructure layout of overseas giants in India has not always been smooth sailing, and related projects have caused controversy in the industry one after another. Taking Google's India data center planning project as an example, environmentalists questioned that the relevant approval process was too fast and did not fully assess the potential negative impact of large-scale data center operations on local water resources and the ecological environment. The Indian government has denied such disputes.