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| Microsoft opens its largest India data center hub as AI race heats up, Google’s data center project fights water and wildlife concerns |
| 2026-08-07 |
| [Reuters] Microsoft (MSFT.O) launched its largest India data center in Hyderabad on Thursday and has signed up Adani Group and HDFC Bank among early users as it races rivals for the country's fast-growing AI market. The India South Central facility brings Microsoft's cloud regions in India to four, adding to existing centers in Pune, Chennai and Mumbai, and cementing its position as the country's largest cloud-computing provider, The Windows maker has committed about $20.5 billion to expand its India opreations, betting on a market of more than 1 billion internet users and one of the world's deepest pools of tech talent. Google's $15 billion India data centre project battles water, wildlife concerns [Reuters] Work to build Google's planned Indian data centre hub is in full swing, with a hillside above the site stripped to red earth and terraced into steps, but mounting opposition from environmentalists is creating hurdles for the U.S. tech giant's $15 billion project. The southern state of Andhra Pradesh, governed by an ally of Prime Minister Narendra Modi who has hailed the project as historic and transformational, has denied allegations that the project was fast-tracked without weighing risks to water supplies and wildlife. But the growing opposition could become an early test for Google's (GOOGL.O) biggest-ever India investment, which is facing several legal challenges over its impact on water supplies and proximity to a wildlife sanctuary that is home to leopards and pangolins. In recent weeks, activists and children have marched in Visakhapatnam city, holding banners saying "We cannot drink DATA" and painting handcuffs on the Google logo, social media posts show. On Sunday, Reuters attended a public gathering where activists chalked out plans for holding door-to-door awareness campaigns and beach protests in coming days. "Development should not be at the cost of livelihood of the people," Raja Rama Mohan Roy, founder of non-profit Green Visakha said at the event where he presented statistics on Visakhapatnam's stressed water supply and demand. The government says the city receives 410 million litres of water a day from its reservoirs and rivers, against a requirement of 480 million. Rationing of water supplies is common in the city with a population of 2.5 million people. Rapid data centre buildouts are facing pushback around the world for using huge quantities of water to cool servers and of electricity. The potential impact is even more pronounced in a developing nation like India. In the U.S., opponents held 142 protests across 42 states in July raising similar concerns. STATE DEFENDS, OPEN TO REDRESSAL The state's top court on Monday asked the government to defend against allegations levelled by activist group Jal Biradari (Water Community), which says the project will strain water availability by putting stress on a nearby reservoir. The Andhra Pradesh High Court will next hear the public interest litigation on August 24. The state in its statement to Reuters called activists' concerns about the project incorrect and misleading, but added it is open to feedback. "Such protests are their democratic right. In case any of these claims are legitimate, government is committed to engage and provide factual clarifications and suitable redressal," it said. Google in a statement to Reuters said its project will be developed in line with applicable laws and it will implement "advanced air cooling to protect vital local water resources". Work was well underway when Reuters visited on Monday, earthmovers still working the exposed ground. The tech giant has partnered with Indian billionaire Gautam Adani’s group which will build the marquee project which is seen creating up to 188,000 jobs. Adani did not respond to queries. |
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