Tech giant Microsoft (MSFT) said on Tuesday that it will invest $17.5 billion in India over the next four years, making this its biggest investment in Asia so far. The money will go toward building up India’s cloud and artificial intelligence infrastructure. CEO Satya Nadella announced the news in a post on X after meeting with Indian Prime Minister Narendra Modi in New Delhi. Nadella explained that the goal is to help India develop the tools, skills, and systems it needs to succeed in a future that is driven by AI.
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This investment shows just how interested global tech giants are in India, which is one of the fastest-growing digital markets in the world. In fact, Google (GOOGL) also announced a $15 billion plan back in October to build its first major AI hub in India. As a result, India is hoping to become a major global center for AI and semiconductor production.
To support this, the government is offering financial incentives to attract big tech companies and chipmakers, with hopes of creating jobs and reducing reliance on imported technology. In addition, Microsoft’s new plan adds to its earlier $3 billion investment focused on new data centers and workforce training. The company, which has operated in India for over 30 years and employs more than 22,000 people there, plans to launch its largest data center in India by mid-2026 to support growing demand.
Is MSFT Stock a Good Buy?
Turning to Wall Street, analysts have a Strong Buy consensus rating on MSFT stock based on 33 Buys and two Holds assigned in the last three months. Furthermore, the average MSFT price target of $630.64 per share implies 28.5% upside potential.
