Microsoft acquires 48 acres of land in Hyderabad for a deal valued at approximately USD 36 million (INR 267 crore). The acquisition is part of Microsoft’s broader strategy to expand its global data center footprint. With over 300 data centers in 34 countries, Microsoft continues to invest heavily in data center infrastructure.

The property, situated about forty kilometers from Hyderabad's main city, was purchased from the land aggregator, Sai Balaji Developers. This acquisition adds to the existing network of three Microsoft data centers in India, located in Pune, Mumbai, and Chennai.

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Microsoft's decision to expand in Hyderabad aligns with the tech giant's ongoing efforts to increase its presence in the flexible office space segment throughout the country. The company currently operates an India Development Center (IDC) in Hyderabad, which has been instrumental in the development of its technological offerings.

This new acquisition marks a significant investment in Microsoft's data center business. The company has big plans to develop one of the largest data centers in Asia-Pacific. This move is expected to bolster Microsoft's capacity to provide robust cloud services to its growing customer base in the region. In 2022, Microsoft acquired three land parcels in Hyderabad for around USD 32 million (INR 275 crore) to establish a data center.

This recent acquisition indicates Microsoft's continued commitment to investing in its data center infrastructure in India. Due to increased digitalization and the rise in demand for cloud-based services, the data center industry in India has been expanding quickly. Microsoft's investment in Hyderabad is a testament to the city's growing prominence as a major IT hub in India.

Microsoft's expansion in Hyderabad is expected to generate numerous employment opportunities and contribute to the region's economic growth. However, the company has not yet shared specific details about the development timeline of the new data center.

Read: Microsoft to Invest $2.2 Billion to Develop Data Center and AI Infrastructure in Malaysia

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