Amazon invests Rs Rs 20,761 Cr in Telangana making its the largest FDI

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 centres, 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."

In addition to the existing region in Mumbai and the new one planned for Hyderabad, there are currently seventeen CloudFront edge locations in India: four in Hyderabad, another four in New Delhi, three in Bangalore, three in Mumbai, two in Chennai, and one in Kolkata. "The edge locations work in concert with a CloudFront regional edge cache in Mumbai to speed delivery of content (read How CloudFront Delivers Content to learn more). Finally, there are six AWS Direct Connect locations, all of which connect to the Asia Pacific (Mumbai) Region: Two in Mumbai, one in Chennai, one in Hyderabad, one in Delhi, and one in Bangalore," said Jeff Barr.

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.