Microsoft’s Nadella guarantees $3 billion in India’s AI investment

Microsoft Corp. plans to spend $3 billion (approximately Rs 25,752 crore) to expand its cloud computing and artificial intelligence capabilities in India to boost its revenue growth with the world’s most populous country.

CEO Satya Nadella secured the investment on Tuesday at an event in Bangalore, southern India, to a group of startups at tech companies such as Wipro Ltd. and Cognizant Technology Solutions Corp. and executives delivered speeches.

A country with a population of 1.4 billion is becoming an AI battlefield, and the CEO of Jensen Huang of NVIDIA Corp. has visited Lisa SU of Advanced Micro Depection Inc. in the past few months. India has home to millions of programmers and technical service providers, such as Tata Consultancy Services Ltd. and Infosys Ltd., which has one of the world’s largest AI talent pools.

“The spread rate of AI in India is exciting,” Nadella said.

On Monday, Nadella posted a photo online at a meeting with Indian Prime Minister Narendra Modi. “It’s great to have our commitment to making India’s AI first,” he said on X. The Prime Minister responded that he’s “happy to know about Microsoft’s ambitious expansion and investment plans in India.”

Under Nadella’s management, Washington-based Redmond has been driving commercial AI. Last week, the company announced plans to invest $80 billion (approximately Rs 686733 crore) to provide critical infrastructure for enterprises to deploy AI systems and tools with building data centers.

The tech giant has made significant investments in India (Nadella’s home country), hiring more than 23,000 employees in cities including Bangalore and Hyderabad technology hubs. The CEO said on Tuesday that Microsoft is committed to training 10 million people in AI by 2030.

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