AWS pumps $2.7 billion into India to set up a second cluster of data centers in Hyderabad by 2022

• Amazon Web Services (AWS) is expanding its infrastructure footprint in India by launching a new cluster of data centers in Hyderabad.
• This will be the second AWS region within India after Mumbai, and is expected to go live by mid-2022.
• AWS investment is the largest FDI in the history of Telangana worth ₹20,761 crore ($2.77 billion).

Amazon Web Services is expanding its footprint in India by launching a second hub within the country, this time in Hyderabad, Telangana. This marks Telangana’s largest-ever FDI worth ₹20,761 crore ($2.77 billion).


“Hyderabad met the most rigorous requirements that we have for data centers,” said Puneet Chandok, the President of Commercial Business at AISPL India and South Asia.

The region is expected to be up and operational by mid-2022. While the company did not disclose the financial details of the deal, Chandok highlighted that the impetus continues to be on creating highly skilled and well-paid jobs in the local economy.

“The kind of roles we’re hiring for today includes data center engineers, support engineers, engineering operations managers, security specialists and many more,” he said.

Three new AWS availability zones
The new cluster of data centers will add another three availability zones to the three that already exist in India under the AWS Mumbai region. “This will fulfill the long term capacity needs of a country like India,” said Chandok.

A region is a physical location where data centres are located. Availability zones, on the other hand, are the actual technology infrastructure in separate and distinct geographical regions. Three new availability zones mean that three different locations within Hyderabad will be scouted for setting up data centers.

“Each availability zone is a fully isolated partition of the AWS global infrastructure. This means it is physically separate from any of the other availability zones by a meaningful distance,” explained Chandok.

Why did AWS choose Hyderabad?
Chandok highlighted that AWS chose Hyderabad for its new hub because of Telangana’s policies specifically targeted at the growth of IT and IT services in India. “Hyderabad is the city that’s home to several startups and enterprises with a skilled workforce today,” he said.

It’s also about the location itself. The company explains that Hyderabad fits the parameters of latency, cost, availability, security and scalability.

“There will lower latency to address the South India market,” said Rahul Sharma, the President for Public Sector at AISPL across India and South Asia.

The AWS Hyderabad region will be the 11th region for the company in Asia.

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