Amazon commits $13B to expand AI and cloud infrastructure in India

Amazon announced on Thursday that it will invest an additional $13 billion to expand its artificial intelligence and cloud footprint in India through 2030. The announcement followed a meeting in New Delhi between Amazon CEO Andy Jassy and India’s Prime Minister Narendra Modi. The new capital will fund the expansion of Amazon Web Services (AWS) data center capacity—the physical infrastructure for cloud computing—in Mumbai and Hyderabad.

This fresh commitment brings Amazon’s total planned investment in India to $48 billion. While Amazon did not detail how the total $48 billion would be deployed across its various India businesses, long-term commitments by technology companies usually include both capital and operating expenditures, rather than only new infrastructure spending. Amazon’s expansion aligns with a broader push by technology companies and institutional investors to build out digital infrastructure in India.

The scale of these commitments highlights the competitive landscape:

• Amazon: $48 billion in total commitments, which includes a $15 billion commitment in 2023 (with $12.7 billion allocated to AWS), over $35 billion committed in December 2025, and the new $13 billion through 2030.
• Microsoft: $17.5 billion committed in India by 2029 to build AI and cloud infrastructure.
• Google: $15 billion committed to build an AI hub and data center infrastructure in the country.

Other global and domestic players are also pouring capital into Indian data center projects. Investors include Australia’s AirTrunk and Canada Pension Plan Investment Board’s CPP Investments, alongside domestic conglomerates Reliance Industries and Adani Group. New Delhi has encouraged these investments through policy incentives, such as tax exemptions for cloud providers on services sold overseas if those workloads run from Indian data centers.

Beyond cloud infrastructure, Amazon is expanding its domestic retail and logistics network in India. The company plans to open more than 20 fulfillment centers—warehouses for order processing—and over 100 last-mile delivery stations this year. It also plans to expand its quick-commerce service, Amazon Now, to more than 300 cities and towns. Quick-commerce is a retail model focused on rapid delivery. This expansion comes as Amazon competes in a quick-commerce market against Blinkit, Swiggy, Zepto, and Walmart-owned Flipkart. Flipkart itself plans to open 1,500 micro-fulfillment centers across the country by the end of 2026.

Why it matters

The announcement marks Amazon’s third major commitment for India in as many years, as global technology companies bet that India will become a major hub for the computing infrastructure needed to power artificial intelligence products.