Microsoft is in the final stage of talks with the state government to establish a data center in Telangana with an investment outlay of about $2 to 2.25 billion (INR 15,000 crore). For building the facility, the US tech giant has zeroed in on a patch of land near Hyderabad. If the discussions come to a positive conclusion, this would be one of the most significant investments of Microsoft outside the USA.
The reports suggest that a few months ago, KT Rama Rao, Telangana Minister for IT and Industries, kicked off discussions by initiating dialogues with Microsoft.
During the last stages of discussions, certain issues such as whether it would be a multiple or single location center and the size of the investment were addressed and are yet to be finalized. However, though officially not confirmed, Microsoft appears to be willing to go ahead with setting up a data center in the city.
An announcement is expected soon as soon as Microsoft gets some clearance from their global teams.
The plan of Microsoft to set up the data center comes close on the heels of Brookfield Infrastructure planning to launch a joint venture to develop such facilities in the country under the brand name BAM Digital Realty. Amazon Web Services earlier had announced its second data center in the state with an investment of Rs 20,761 crore ($2.77 billion).