Amazon Web Services (AWS) announced on Tuesday that it will invest $4.4 billion (approximately Rs 36,300 crore) by 2030 to build its second data center cluster in in Hyderabad. Amazon.com Inc will use AWS Asia Pacific (Hyderabad) to provide developers, startups and other companies “to run workloads with higher resiliency and availability, securely store data in India, and serve them with lower latency.” The end user provides the service.” AWS already has similar facility in Mumbai, which opened in 2016. It operates such facilities in 30 locations around the world.

With increasing data consumption and cloud adoption, the demand for data centers in is growing exponentially. Ratings agency Crisil estimates that data center capacity will double from the current 870 MW to 1,700-1,800 MW by 2025.

This has prompted conglomerates such as the Adani Group to announce large investments to build data centers in multiple locations. Oracle announced its second-generation cloud regions in Mumbai and Hyderabad in 2019, while Reliance has partnered with Microsoft to provide cloud services to SMEs in the country. Hiranandani Group has launched Yotta Infrastructure to build data centers in Mumbai and Chennai.

In statement, AWS announced “the launch of its second AWS infrastructure region in India – the AWS Asia Pacific (Hyderabad) Region. Starting today, developers, startups, entrepreneurs and enterprises, as well as government, education and Non-profit organizations, will have more options to run their applications and serve end users from data centers located in India.”

“Customers will be able to use advanced AWS technologies to drive innovation, including data analytics, security, machine learning and artificial intelligence (AI),” it said.

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Prasad Kalyanaraman, vice president of data infrastructure services at Amazon, said the launch of the AWS Asia Pacific (Hyderabad) region supports India’s digital transformation and is part of AWS’s long-term investment in the country since it opened its first office in 2011.

“Customers and partners in will now have additional regional infrastructure to deploy applications with higher resiliency, availability and even lower latency,” he said.

The “ Cloud” is set for massive expansion and innovation as part of Prime Minister Narendra Modi’s $1 trillion (Rs 82 trillion) digital economy vision.

“Data centers are an important part of the digital ecosystem. AWS’s investment in expanding data centers in is welcome development and will certainly help boost India’s digital economy,” the statement quoted Rajeev Chandrasekhar, India’s Minister of State for Electronics and Industry Say. Information technology and skills development and entrepreneurship.

He said the government’s upcoming National Cloud and Data Center Policy envisions significant increase in India’s capacity from the current 565MW to more than 2,565MW in the near future.

With the launch of the AWS Asia Pacific (Hyderabad) Region, AWS now has 96 Availability Zones across 30 geographic regions and announced plans to launch 15 more Availability Zones and five AWS Regions in Australia, Canada, Israel, New Zealand, and Thailand .

AWS Regions are made up of Availability Zones, which place infrastructure in separate and distinct geographic locations.

The AWS Asia Pacific (Hyderabad) Region consists of three Availability Zones and joins the existing AWS Asia Pacific (Mumbai) Region, which opened in June 2016.

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Availability Zones are located far enough from each other to support business continuity for customers, and close enough to provide low latency for highly available applications that use multiple Availability Zones. Each Availability Zone has independent power, cooling, and physical security, and is connected by redundant, ultra-low-latency networking.

AWS “customers focused on high availability can design their applications to run in multiple Availability Zones for greater fault tolerance,” it said. “The launch of the AWS Asia Pacific (Hyderabad) Region will enable local customers with data residency preferences to securely store data in India while providing lower latency to customers across the country.” $4.4 billion by 2030 (approx. Rs 3,630 crore) investment includes capital expenditure for building data centres, operating expenditure related to ongoing utility and facility costs, and purchase of goods and services from regional players.

“Over the period, this investment is estimated to also support external businesses providing an average of more than 48,000 full-time jobs annually,” the statement said. “It is estimated that by 2030, the AWS Asia Pacific (Hyderabad) India’s GDP has increased by around $7.6 billion (Rs 636 billion).” KT Rama Rao, Minister of IT and Industry, Government of Telangana, welcomed AWS’s commitment to invest Rs 363 billion in the AWS region in Hyderabad, which underpins the The state’s status as hub for advanced data centers in India.