Microsoft’s Satya Nadella Commits $17.5 Billion to Boost India’s AI Push After Talks with PM

Microsoft CEO Satya Nadella on Tuesday announced a USD 17.5 billion commitment to accelerate India’s Artificial Intelligence (AI) ambitions, marking the tech giant’s largest-ever investment in Asia.

The pledge aims to build advanced AI infrastructure, expand skilling programmes and strengthen the country’s sovereign capabilities in the sector. Nadella revealed the investment in a post on X shortly after meeting Prime Minister Narendra Modi at his Delhi residence.

“Thank you, PM @narendramodi ji, for an inspiring conversation on India’s AI opportunity. To support the country’s ambitions, Microsoft is committing USD 17.5B—our largest investment ever in Asia—to help build the infrastructure, skills, and sovereign capabilities needed for India’s AI-first future,” he wrote.

Prime Minister Modi described the meeting as “productive,” noting that global confidence in India’s AI potential continues to grow. “Happy to see India being the place where Microsoft will make its largest-ever investment in Asia,” he posted, adding that the country’s youth will drive innovation and use AI for “a better planet.”

Nadella’s India Visit

The Microsoft chief is on a four-day India tour, with scheduled stops in Bengaluru and Mumbai after his engagements in Delhi. The visit underscores Microsoft’s deepening focus on cloud and AI expansion in one of its fastest-growing markets.

Earlier in January, Nadella had announced a USD 3 billion investment over two years to strengthen cloud and AI infrastructure and enable large-scale skilling programmes. As part of that push, the company aims to train 10 million Indians in AI skills by 2030, prioritising women and participants from Tier-II and Tier-III cities.

Microsoft is also preparing to launch Microsoft 365 Copilot with in-country data processing by the end of 2025, ensuring compliance and secure AI deployment for sectors such as government, banking, financial services, insurance, and healthcare.

The latest announcement further solidifies India’s position as a global AI hub, with Microsoft seeking to deepen the India–US collaboration in digital trade, innovation and workforce development to support inclusive and sustainable growth.