# Microsoft opens fourth India cloud region in Hyderabad with zero-water cooling

Digest AI · Enterprise & Industry · published 2026-09-20T15:44:00Z · updated 2026-09-21T00:36:00Z

Canonical: https://digestai.news/story/microsoft-builds-india-south-central-cloud-region-with-effectively-zer

## Summary

Microsoft opened its fourth Indian cloud region, India South Central, in Hyderabad. The facility has three availability zones, is built to support AI workloads from day one, and uses effectively zero water for cooling through air‑cooling technology. Microsoft has contracted 1 GW of renewable energy in India, with 630 MW already flowing, and is adding 5 million litres of groundwater replenishment capacity. The region expands Microsoft’s hyperscale footprint, joining existing regions in Pune, Chennai and Mumbai, and is described as one of its largest compute‑capacity investments in the country.

Only CNBC‑TV18 reports that the launch is part of a $20.5 billion investment commitment over four years and that Microsoft aims to train 20 million Indians in AI by 2030, having already trained 10 million and helped 125,000 find jobs or start ventures. CNBC‑TV18 also says the Hyderabad hub is Microsoft’s second strategic hub in Asia, whereas The Hindu Business Line and Fortune India call it the second strategic hub in India. The Hindu Business Line adds that India’s total data‑centre capacity is about 2 GW and could grow six‑to‑seven‑fold by 2035.

## Key points

- Microsoft opened the India South Central cloud region in Hyderabad, its fourth Indian region, with three availability zones.
- The data centre is designed for effectively zero water cooling and includes 5 million litres of groundwater replenishment capacity.
- CNBC‑TV18 says the launch is part of a $20.5 billion investment and a goal to train 20 million people by 2030; other outlets do not mention this.

## Why it matters

The new region strengthens India's AI infrastructure, reduces water usage in data centres, and signals Microsoft’s sizable financial and skills‑development commitment to the fast‑growing Indian cloud market.

## How the reports compare

Agree: All three outlets report that Microsoft has opened its fourth Indian cloud region, India South Central, in Hyderabad, featuring three availability zones, zero‑water cooling design, and 1 GW renewable energy with 630 MW already flowing.

## Sources

1. [Microsoft’s new India cloud region to use effectively ‘zero water’ for cooling: Microsoft India President](https://thehindubusinessline.com/info-tech/microsofts-new-india-cloud-region-to-use-effectively-zero-water-for-cooling-microsoft-india-president/article71490461.ece) (thehindubusinessline.com, 2026-09-20)
2. [Microsoft announces fourth India cloud region in Hyderabad; facility to support AI workloads](https://fortuneindia.com/auto/microsoft-announces-fourth-india-cloud-region-in-hyderabad-facility-to-support-ai-workloads/160277) (fortuneindia.com, 2026-09-21)
3. [Microsoft opens 4th cloud region in India, says AI must stay under human control](https://cnbctv18.com/technology/microsoft-opens-4th-cloud-region-in-india-says-ai-must-stay-under-human-control-19994772.htm) (cnbctv18.com, 2026-09-21)
4. [Microsoft’s New Hyderabad Data Centre Boosts India’s AI Infrastructure](https://oneindia.com/artificial-intelligence/microsoft-s-new-hyderabad-data-centre-boosts-india-s-ai-infrastructure-8211265.html) (oneindia.com, 2026-09-20)

## Cite

Digest AI, "Microsoft opens fourth India cloud region in Hyderabad with zero-water cooling", 20 September 2026, https://digestai.news/story/microsoft-builds-india-south-central-cloud-region-with-effectively-zer

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