AWS to Invest $8.2B in India to Scale Cloud and AI Infrastructure

The cloud computing division of Amazon known as Amazon Web Services plans to invest $8.2 billion in Maharashtra based on information provided by IT Minister Ashwini Vaishnaw. India's international role in global cloud infrastructure approaches a significant position according to this announcement.

AWS Expands India Footprint with Major Investment

Ministry of Electronics and Information Technology (MeitY) verified such planned spending on Monday by noting its major enhancement potential for India’s digital infrastructure. During his statement, IT Minister Ashwini Vaishnaw stressed that the program would generate employment opportunities alongside the investment. This investment project will be deployed across 2029 to 2030, stating, "Amazon Web Services to invest $8.2 billion in Maharashtra. This will bring significant growth in jobs".

AWS has announced plans to bring its GPU computing capabilities and cloud management solutions to India as part of its expansion in the domestic competitive cloud computing sector as per Reuters.

Strengthening India’s Data Center Ecosystem

AWS maintains data centers throughout India with their primary facilities established in Mumbai since 2016 while developing their second center in Hyderabad since 2022. The recent investment matches India's ongoing initiative to expand cloud storage facilities within the national borders. Internet data storage solutions in India will likely grow from their current $8.3 billion market value through 2023 to reach $24.2 billion during 2028 according to an IDC report.

Amazon’s Broader Commitments in India

Amazon pursues this investment as part of its promise made last year to invest more money into Indian e-commerce activities. During its annual Smbhav event in December 2024 Samir Kumar from Amazon India announced his plan to digitize 10 million small businesses and establish an online presence for 12 million businesses to reach the digital economy. Through its platform Amazon achieves nearly $13 billion in cumulative exports as well as creates approximately 1.4 million direct and indirect employment opportunities in India. Amazon strengthened its commitment by promising $80 billion in cumulative e-commerce exports from India for 2030 which equals four times the amount they initially set for 2025 at $20 billion.

India’s Cloud Market Sees Growing Interest

AWS stands alongside other companies that have made substantial investments in the potential of India's cloud services market. Microsoft Chairman and CEO Satya Nadella stated during the start of this year that Microsoft would invest $3 billion into India over the next two years for development of AI and cloud infrastructure. Microsoft launched ADVANTA(I)GE India with a goal to provide AI training to 10 million Indians during the following decade. AWS' $8.2 billion investment sets a powerful benchmark for the Indian market which global cloud giants have chosen to advance their expansion in this region.

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