Microsoft will invest $3 billion in India’s cloud and AI systems over the next two years, chairman Satya Nadella said today. The plan includes new data centers and training for 10 million Indians in AI skills by 2030.
The company also aims to train 10 million Indians in AI by 2030, building on its recent success. Its ADVANTA(I)GE program has already trained 2.4 million people, with most learners coming from smaller cities and towns. Women make up 65% of those trained.
The investment comes as India shows strong appetite for AI skills. Indian professionals spend 50% more time learning than the global average, with 122% more Indians adding AI skills to their profiles year-over-year, compared to 71% worldwide.
Microsoft’s Research Lab launched an AI Innovation Network to turn research into business solutions faster. The firm has also partnered with SaaSBoomi to boost India’s AI and software firms, targeting 5,000 startups and 10,000 entrepreneurs as India eyes a trillion-dollar tech economy.
“India is rapidly becoming a leader in AI innovation,” Nadella said. “These investments will help ensure people and organizations across the country benefit broadly.”
The company runs three data centers in India, with a fourth set to open in 2026. This expansion aims to support India’s growing AI startups and researchers.
“Microsoft has been a copilot to making AI a reality in India, taking it from boardrooms to classrooms,” said Puneet Chandok, who heads Microsoft India. The firm plans to run its AI services under strict principles of fairness, safety, privacy, and transparency.
India’s skills minister Jayant Chaudhary backed the move, saying “through the ‘AI for India’ mission, we aim to empower citizens with cutting-edge AI skills, driving innovation, creating jobs, and bridging the digital divide.”
Pawan Prabhat, CO-Founder of Shorthills AI, commented on the announcement, “As a Gold Partner of Microsoft, we are very bullish about the positive impact of this investment on the entire ecosystem. However, the real impact of this would be measured by the reduced cost of computing power and ease of use of AI in enterprises. This will be the real litmus test for the impact of this $3 billion investment on the ecosystem.”