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AWS accelerates India cloud expansion with new Hyderabad data center and US$21 billion infrastructure plan

India | July 20, 2026
Federal Reserve Building

Amazon Web Services has begun building another data center in Hyderabad and plans to invest more than US$21 billion in India's cloud infrastructure between 2026 and 2030. The expansion is expected to strengthen AI-ready digital infrastructure, increase regional data center capacity and support enterprise and public-sector cloud adoption.

Amazon Web Services (AWS) has launched construction of a new data center in Hyderabad as part of a broader strategy to expand its cloud infrastructure footprint across India. According to official announcements, the company plans to invest more than US$21 billion in cloud infrastructure between 2026 and 2030, increasing capacity in its Hyderabad and Mumbai regions to meet rising demand for cloud computing and artificial intelligence (AI) services.

The project forms part of Amazon's wider commitment of approximately US$48 billion for its businesses in India. AWS also stated that it had invested more than US$1.3 billion in the Asia Pacific Hyderabad Region by the end of 2025, reflecting its ongoing expansion in one of the country's fastest-growing digital infrastructure markets. The groundbreaking ceremony for the new facility was held at Bharat Future City, a technology-focused development in Telangana.

The investment is significant because India is experiencing rapid growth in cloud adoption, AI workloads and digital public infrastructure. Additional data center capacity is expected to improve computing availability, lower latency for enterprise customers and strengthen support for national digital transformation initiatives. Hyderabad and Mumbai are emerging as key locations for hyperscale cloud infrastructure, attracting continued investment from global technology providers.

State officials said the project aligns with Telangana's ambition to become a leading AI and cloud technology hub, while AWS indicated the expansion will support increasing requirements under India's digital modernization and AI initiatives. Alongside infrastructure development, Amazon is continuing its Data Center Skilling Program to help build a workforce capable of operating advanced cloud facilities.

AWS is Amazon's cloud computing business, providing on-demand computing, storage, networking, databases, AI and other digital services to enterprises, governments and developers worldwide. The company operates a global network of cloud regions and availability zones that support mission-critical digital infrastructure across multiple industries.

For businesses and investors, the latest investment signals sustained long-term confidence in India's digital economy and reinforces the country's position as a strategic destination for hyperscale cloud infrastructure. The expansion is likely to benefit technology providers, enterprise customers, telecommunications operators, engineering contractors, equipment suppliers and AI-focused businesses that depend on scalable computing capacity.

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