Amazon announced that an additional $13 billion would be invested in India by 2030, continuing to expand AI and cloud computing. The expansion of the AWS data centres in Mumbai and Hyderabad shows that India is becoming a major market for global technology companies to compete for computing infrastructure.

Additional investments over three years

Prior to the announcement, the Chief Executive Officer of the Amazon, Andy Jassi, met with Prime Minister Modi of India in New Delhi. This was the third major investment commitment to India in almost three years.

The company indicated in 2023 that it would invest $15 billion in India by 2030, of which $12.7 billion went to AWS. By December 2025, the Amazon had announced new commitments of over $35 billion. The cumulative investment commitment of the Amazon in India has risen to $48 billion in the latest calibre.

  • Commitment to invest $15 billion in 2023
  • Of which AWS-related investments were $12.7 billion
  • The most recent cumulative commitment increased to $48 billion

However, the Amazon did not explain how the $48 billion would be allocated to Indian operations. It was mentioned that such long-term commitments typically included both capital and operating expenses and were not equivalent to all of the new infrastructure.

Indo-AI Data Centre Hot Market

This additional investment in the Amazon continues the trend of global technology companies to focus on AI infrastructure in India for almost two years. Microsoft indicated last December that it would invest $17.5 billion in India by 2029; Google also stated last October that $15 billion would be invested in the construction of the AI hub and data centre facilities.

In addition to science and technology companies, India has attracted a number of investment agencies and local consortiums to participate in the data centre project, including Australia AirTrunk, CPC Investments, as well as the Faith-based Industries and the Adani Group.

Tax incentives go hand in hand with retail expansion

In recent years, the Government of India has consistently adopted policies to attract investment in cloud services and data centres. Incentives in New Delhi include tax exemptions for foreign cloud service providers for cloud services sold overseas but carried by local data centres in India.

In addition to AI and the cloud business, the Amazon is simultaneously expanding the retail and logistics network in India. The company plans to add 20 more compliance centres and 100 more end-of-pipe distribution stations this year and to expand the immediate retail service Amazon Now to over 300 cities and towns.

This move also reflects the desire of the Amazon to expand its share of the immediate retail market in India. Its competitors include Blinkit, Swiggy, Instamart, Zepto and Walmart, Flipkart. The latter also indicated this week that 1,500 micro-performance centres were planned to be opened by the end of 2026.