Microsoft will invest $17.5 billion in India over the next four years from 2026 to 2029, to drive AI diffusion at a population scale, company CEO Satya Nadella said.
“Thank you, PM @narendramodi ji, for an inspiring conversation on India’s AI opportunity. To support the country’s ambitions, Microsoft is committing US$17.5B—our largest investment ever in Asia—to help build the infrastructure, skills, and sovereign capabilities needed for India’s AI first future. @PMOIndia,” Nadella wrote in a post on X.
The software giant said the latest investment commitment comes on top of Microsoft’s earlier commitment of $3 billion announced in January this year.
Prime Minister Narendra Modi has welcomed Microsoft’s largest-ever investment in Asia and expressed optimism about India’s leadership in Artificial Intelligence.
Responding to Microsoft Chairman and CEO Satya Nadella’s post on social media the Prime Minister said, when it comes to AI, the world is optimistic about India. He said that the youth of the nation will harness this opportunity to innovate and leverage the power of AI for a better planet.
Microsoft’s investment announcement comes weeks after Google said in October that it will invest $15 billion in India over the next five years to establish its first AI hub in the country. Located in the southern city of Visakhapatnam, the hub will be one of Google’s largest globally. OpenAI has said it will open an India office, with its chief Sam Altman noting that ChatGPT usage in the country had grown fourfold over the past year.
Union Minister Ashwini Vaishnaw met Nadella to discuss the role of AI in public welfare, emerging technologies, and the importance of data sovereignty.
In a post on X, the minister said, “Met Microsoft CEO Mr. @satyanadella. Discussed the use of AI for public good, frontier technologies, and data sovereignty. Microsoft's landmark investment reflects India's rise as a reliable global technology partner. This partnership will drive the country's leap from digital to AI public infrastructure.”
Vaishnaw welcomed the move, stating, “As Al reshapes the digital economy, India remains committed to innovation anchored in trust and sovereignty. Microsoft's landmark investment signals India's rise as a reliable technology partner for the world. This partnership will set new benchmarks and drive the country's leap from digital public infrastructure to AI public infrastructure.”