Hyderabad: In a major boost to Telangana, Amazon Web Services (AWS), an Amazon.com company, has announced an investment of Rs 20,761 crore ($2.77 billion) to create multiple data centers, making it the largest FDI investment in the State.
AWS is investing to set up an AWS Region with three Availability Zones (AZs) in Hyderabad. The AWS Asia Pacific (Hyderabad) Region is expected to start operations by mid of 2022.
These Availability Zones (AZs) consist of multiple data centres in separate distinct locations within a single region that are engineered to be operationally independent of one another with independent power, cooling, physical security, and connections via a low-latency.
Telangana Industries and IT Minister KT Rama Rao tweeted on Friday saying, “Happy to announce the largest FDI in the history of Telangana. After a series of meetings, AWS has finalised investment of Rs 20,761 crore ($2.77 billion) to set up multiple data centres in Telangana. The AWSCloud Hyderabad Region is expected to be launched by mid-2022.”
Happy to announce the largest FDI in the history of Telangana! After a series of meetings, AWS has finalized investment of ₹20,761 Cr ($ 2.77 Bn) to set up multiple data centers in Telangana
— KTR (@KTRTRS) November 6, 2020
The @AWSCloud Hyd Region is expected to be launched by mid 2022#HappeningHyderabad pic.twitter.com/XuGxFfSFsS
The investment from AWS would position Telangana as one of the preferred destinations for other companies that are looking to set up data centres in the future. Establishment of data centres like AWS is expected to support Telangana’s digital economy and IT sector in a multi-fold way.
The new AWS Asia Pacific (Hyderabad) Region will enable even more developers, startups, and enterprises as well as government, education, and non-profit organizations to run their applications and serve end-users from data centers located in India. Establishment of data centres in a region will increase the operations of sectors such as e-commerce, public sector, banking and financial services (BFSI), IT, and more.
Telangana is one of the most progressive States with policies targeted specifically towards advancing the growth of IT and IT-enabled services (ITES) companies in India. Hyderabad is a city that recorded the highest growth rate in the IT sector over the years and is home to many innovative startups, enterprises, and a skilled workforce. AWS chose Hyderabad because of the support provided by the government of Telangana, robust policy framework, and because it best met the rigorous requirements for an AWS Region.
KT Rama Rao had met officials from AWS during his Davos visit earlier in the year and subsequently arrived at the closure on the investment in a swift manner. On the occasion of this investment announcement, the Minister said, “This investment from AWS is going to be the largest FDI (Foreign Direct Investment) that the State has attracted since the inception and will act as a strong anchor for attracting other technology investments.”
“AWS choosing Hyderabad as their preferred destination speaks volumes about the swiftness with which the government operates and also the transparency in the system. This investment further strengthens the existing relationship that Telangana enjoys with Amazon. We, at Hyderabad, are already hosting the largest office campus of Amazon,” KTR added.
The new AWS Asia Region, which will consist of three Availability Zones at launch, will join the existing nine AWS Regions and 26 Availability Zones across Asia in India, Australia, Greater China, Japan, Korea, and Singapore. Globally, AWS has 77 Availability Zones across 24 infrastructure regions, with announced plans to launch 15 more Availability Zones and five more AWS Regions in India, Indonesia, Japan, Spain, and Switzerland.
“Businesses in India are embracing cloud computing to reduce costs, increase agility, and enable rapid innovation to meet the needs of billions of customers in India and abroad,” said Peter DeSantis, Senior Vice President of Global Infrastructure and Customer Support, Amazon Web Services.
“Together with our AWS Asia Pacific (Mumbai) Region, we are providing customers with more flexibility and choice, while allowing them to architect their infrastructure for even greater fault tolerance, resiliency, and availability across geographic locations,” he added.
The launch of the AWS Asia Pacific (Hyderabad) Region will provide customers with even lower latency across southern India.
In August 2019, Amazon inaugurated its largest campus building globally in Hyderabad. Spread over 9.5 acres, the campus is built to support more than 15,000 employees and reaffirms Amazon’s commitment to India.
