India AI Investment: Amazon’s $35 Billion & Microsoft’s $17.5 Billion

Amazon announced plans to invest more than $35 billion across all its businesses in India by 2030.

The idea is to boost AI innovation and create jobs in the country, while also bringing AI benefits and Amazon’s AI-powered products and services to over 15 million small businesses and delivering cumulative exports to $80 billion.

It will also enhance shopping experiences for hundreds of millions of shoppers, and bring 4 million government school students AI education, career opportunities, technology career tours, hands-on AI sandbox experiences, and teacher training programs.

This adds to the $40 billion invested in India, which has already digitized 12 million small businesses, enabled $20 billion in exports, and supported around 2.8 million direct, indirect, induced, and seasonal jobs across industries in the country, according to the company.

The company expects to support 3.8 million direct, indirect, induced, and seasonal jobs by 2030.

The announcement was made at the sixth edition of the Amazon Smbhav Summit in New Delhi, which was held on December 10.

“We are humbled to have been a part of India’s digital transformation journey over the past 15 years, with Amazon’s growth in India perfectly aligned with the vision of an Atmanirbhar and Viksit Bharat. We have invested at scale in growing the physical and digital infrastructure for small businesses in India, creating millions of jobs, and taking Made-in-India global,” said Amit Agarwal, Senior VP Emerging Markets, Amazon.


Microsoft also announced an investment of $17.5 billion spread over four years (2026 to 2029) aimed towards advancing the country’s cloud and AI infrastructure, skilling and job creation, and supporting its existing operations and initiatives.

It revolves around three key pillars—scale, skills, and sovereignty—and marks Microsoft’s largest investment in Asia so far.

The reveal came as Satya Nadella, Microsoft’s Chairman and CEO, met Indian Prime Minister Narendra Modi ahead of the company’s India AI tour.

“Thank you, PM Narendra Modi ji for an inspiring conversation on India’s AI opportunity. To support the country’s ambitions, Microsoft is committing US$17.5B—our largest investment ever in Asia—to help build the infrastructure, skills, and sovereign capabilities needed for India’s AI first future,” said Nadella on a post published on LinkedIn, accompanied by a photo of the two meeting.

Microsoft intends to build secure, sovereign-ready hyperscale infrastructure to enable AI adoption in India, which includes Microsoft’s largest hyperscale region in its India South Central cloud region in Hyderabad, that is set to go live in mid-2026.

Meanwhile, Microsoft will continue to expand its three existing operational data center regions in Chennai, Hyderabad, and Pune, bringing Indian firms greater choice and resilience, low-latency, and enhancing mission-critical performance for enterprises, startups, and public sector institutions.

The move builds on the $3 billion investment Microsoft announced in January 2025.


India is fast becoming a popular destination for tech conglomerates to pitch their AI infrastructure tents in.

It’s not just infrastructure that shows promise; it’s the large market for AI products in the country.

In October, Google revealed plans to invest around $15 billion over five years (2026-2030) to build the company’s and India’s first AI hub in Visakhapatnam (Vizag), Andhra Pradesh. This would be carried out in partnership with India’s telecom giant Bharti Airtel (Airtel) and industrialist Adani Group-led AdaniConneX.

The AI hub would span a powerful gigawatt-scale data center, new large-scale energy sources, and an expanded subsea fiber-optic network.

Now, Google has announced the launch of Google AI Plus in the country. It includes providing cost-effective methods that help people do more with the latest Google AI models and features.

The plan includes extended access to Gemini 3 and Nano Banana Pro, its image generator, as well as its video generator in the Gemini app, the integration of Gemini into everyday apps such as Gmail and Docs, expanded access to NotebookLM, and 200 GB of storage across Photos, Drive, and Gmail.  

The plan will also allow users to share all its benefits with up to five other family members through a single plan.

The plan is priced at Rs 399 ($4.44) per month, while new subscribers can avail it for Rs 199 ($2.22) for the first six months.

Do you think the investments in India will help Amazon, Microsoft, and Google capture a healthy share of the AI market in the country?

Let us know in the comments below!