AWS Invests $2.7 Bn To Set Up Second Cluster Of Data Centers In Hyderabad By 2022

Amazon Web Services (AWS), the cloud arm of ecommerce giant Amazon, on Friday (November 6) announced to open a second infrastructure Cloud region in Hyderabad by mid-2022 with three availability zones. The AWS investment will come at a cost of INR 20,761 Cr ($2.77 Bn).

Launched in 2006, AWS rents out server space and bandwidth to companies of all sizes with cloud computing capabilities, thus negating the need for them to have their own on-site servers. Further, the centre will also support additional AWS services in India.

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.

The Hyderabad Cloud region will join the existing Mumbai region to provide customers with even greater resiliency for critical cloud workloads, lower latency, and improved compliance capabilities.

“Together with our AWS Asia Pacific (Mumbai) Region, we’re 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,” said Peter DeSantis, Senior Vice President of Global Infrastructure and Customer Support, AWS.

The new India region will join the existing nine AWS regions and 26 availability zones across Asia.

“We are pleased that AWS has chosen Telangana as the location for its second region in India. Hyderabad is an important talent hub for IT professionals and entrepreneurs, and with the increased adoption of cloud computing, we are set to see a transformation in the way businesses in south India harness the power of IT,” said Telangana’s industry and IT minister KT Rama Rao.

The Indian organisations that are moving their mission-critical workloads to AWS to drive cost savings, accelerate innovation, and increase agility include Ashok Leyland, Aditya Birla Capital, Axis Bank, Bajaj Capital, ClearTax, Dream11, HDFC Life, Mahindra Electric, Ola, Oyo and others.

The company said that the AWS Asia Pacific (Hyderabad) Region will provide customers with even lower latency across southern India.

Additionally, hundreds of thousands of Indian organisations, from startups to enterprises and the public sector, will have the additional infrastructure to leverage advanced technologies from the world’s leading cloud with the broadest and deepest suite of cloud services.

AWS has also expanded its services through edge locations in Bengaluru, Chennai, Hyderabad, Mumbai, New Delhi, and Kolkata.

“In the past few years, we have accelerated our digital journey, and AWS has helped us migrate key applications to the cloud. We leveraged AWS capabilities in creating data platforms and exploring disruptive technologies has enabled us to better respond to the needs of our customers,” said Parvez Mulla, Chief Operating Officer of HDFC Life.

In the cloud computing market, AWS competes with Microsoft.

AWS In India: The Potential Of Dominance

AWS is a leading public cloud leader player with a 51.8% share in cloud infrastructure market globally, followed by Microsoft at 13.3% and Alibaba at a distant 4.6%. The company launched AWS Asia Pacific (Mumbai) Region with two availability zones in 2016 has seen marginal growth in adding new customers in the region.