Microsoft CEO Satya Nadella has announced that the company plans to invest USD three billion (approx. Rs 24,000 crore) in India over the next two years to bolster artificial intelligence (AI) and cloud infrastructure. This declaration follows his meeting with Indian Prime Minister Narendra Modi, highlighting Microsoft's commitment to the region.

The planned investment will include the establishment of new data centres in India, training AI models, and deploying cloud-based applications. This announcement aligns with broader plans outlined by Microsoft President Brad Smith, who recently revealed that the company is on track to invest USD 80 billion in AI during this financial year.

Microsoft’s commitment to enhancing AI and cloud capabilities in the country is expected to contribute to economic growth, skill enhancement, and job creation. The  investment reflects Microsoft's confidence in India's potential to become a global leader in AI innovation.

By focusing on infrastructure and skilling, Microsoft aims to empower individuals and organizations to harness AI for broader societal benefits, reinforcing the company’s vision of a digitally inclusive future. The world's most populous nation offers significant opportunities for technology companies, both in terms of user base expansion and access to a growing talent pool.

"India is rapidly becoming a leader in AI innovation, unlocking new opportunity across the country," Nadella stated. He emphasised that the company’s investments in infrastructure and skill development aim to make India "AI-first" and ensure that individuals and organizations across the nation can benefit extensively from advancements in AI technologies. AI will play a crucial role in meeting the USD one trillion digital economy target by 2028.