Microsoft on Tuesday announced a sweeping US$17.5 billion investment in India, its largest commitment in Asia, aimed at propelling the country toward an “AI-first” future.
The announcement came after Microsoft
CEO Satya Nadella met Prime Minister Narendra Modi in New Delhi, where the two discussed India’s expanding artificial intelligence landscape.
Following the meeting, Nadella posted on X, thanking the Prime Minister for an “inspiring conversation” on India’s AI opportunity.
“Thank you, PM @narendramodi 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,” Nadella wrote on X.
Thank you, PM @narendramodi 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… pic.twitter.com/NdFEpWzoyZ
— Satya Nadella (@satyanadella) December 9, 2025
The new funding is expected to accelerate India’s efforts to position itself as a global centre for AI innovation.
According to reports, Microsoft’s plan focuses on scaling cloud and computing infrastructure, expanding AI skilling initiatives, and supporting secure, sovereign data systems across sectors.
The company said the investment aligns with India’s broader push to integrate artificial intelligence across industries such as healthcare, manufacturing, governance, education and financial services.
Nadella’s announcement also reflects Microsoft’s wider emphasis on AI adoption worldwide.
The CEO recently highlighted how tools like Microsoft 365 Copilot are transforming productivity and reshaping the future of work, citing examples during major global events including the Excel World Championship.
The Government of India has not yet disclosed the operational framework for the investment, but officials have described Microsoft’s commitment as a significant boost to India’s digital transformation trajectory.
