Microsoft, OpenAI Fund $2B India AI Data Center Hub with NVIDIA GPUs
Microsoft and OpenAI will fund a planned $2 billion AI data center hub in India powered by NVIDIA GPUs through Yotta Data Services. Nomura expects India’s data center capacity to climb from 1.93 GW in 2025 to nearly 4 GW by 2028, boosting demand for Azure’s cloud and AI offerings.
1. Hub Overview
Yotta Data Services plans a $2 billion artificial intelligence data center hub in India powered by NVIDIA GPUs to meet surging AI demand and address the current GPU supply gap.
2. Microsoft's Investment
Microsoft and OpenAI are injecting capital and resources into the new facility, aiming to scale Azure’s cloud and AI service offerings across the Indian market.
3. Capacity Growth
Analysts project India’s data center capacity to expand from 1.93 gigawatts in 2025 to nearly 4 gigawatts by 2028, reflecting rapid adoption of AI and cloud technologies.
4. Strategic Impact
The new hub reinforces Microsoft’s Azure presence in India, positioning the company to capture increased enterprise and AI workloads as local infrastructure scales.