Microsoft Chairman and CEO Satya Nadella announced new AI-driven partnerships and investments to boost India’s leadership in artificial intelligence. Speaking at the Microsoft AI Tour in New Delhi, he revealed collaborations with major Indian organizations. Nadella also announced a $3 billion investment to expand cloud and AI infrastructure, including new data centers in India.
Revolutionizing Indian Industries with AI Partnerships
Microsoft has partnered with RailTel, Apollo Hospitals, Bajaj Finserv, Mahindra Group, and upGrad to address industry challenges, foster innovation, and boost productivity. These collaborations leverage Microsoft’s AI and cloud solutions to transform key sectors of India’s economy.
In the public sector, Microsoft’s five-year partnership with RailTel aims to drive digital transformation in Indian Railways. The collaboration includes establishing an AI Center of Excellence and launching skilling initiatives to train RailTel employees in advanced AI and cloud technologies. This reflects Microsoft’s focus on creating large-scale societal impact through technology.
In healthcare, Microsoft is collaborating with Apollo Hospitals to develop solutions in genomics, disease progression, and multi-modal models. The partnership focuses on co-innovation, building a “Hospital of the Future,” expanding Apollo’s remote healthcare platform globally, and creating AI copilots for patients, clinicians, and hospital operations.
Bajaj Finserv’s partnership with Microsoft marks a pivotal moment in its digital transformation. Leveraging Microsoft Azure OpenAI services, Bajaj aims to become a FinAI company, enhancing customer experiences while achieving an estimated annual cost saving of ₹150 crore by FY26. AI-powered tools will improve conversion rates, operational efficiency, and customer service for India’s largest non-banking financial company.
In the automotive, farm, and financial services sectors, Mahindra Group has joined forces with Microsoft to integrate AI-driven solutions across its divisions. A newly established AI Division at Mahindra will develop intellectual property (IP) and offer specialized pre-trained models through Azure Marketplace. The collaboration focuses on innovation in agentic and multilingual AI capabilities to enhance productivity and market reach.
Collaboration with IndiaAI for Inclusive Growth
Microsoft has signed a Memorandum of Understanding (MoU) with IndiaAI, a division of the Digital India Corporation. The partnership aims to skill 500,000 individuals by 2026 and establish AI Centers of Excellence. It also includes setting up AI Productivity Labs in 20 training institutes across 10 states.
The collaboration focuses on using AI for large-scale solutions in healthcare, education, accessibility, and agriculture. It also emphasizes advancing foundational models with Indic language support to reflect India’s linguistic and cultural diversity.
A Transformative Commitment
Nadella emphasized Microsoft’s goal to democratize AI access and empower communities across rural and urban India. By prioritizing responsible AI, innovation, and skilling, Microsoft aims to drive inclusive growth and establish India as a global AI hub.
Puneet Chandok, President of Microsoft India and South Asia, remarked, “This collaboration underscores Microsoft’s commitment to copiloting India on its journey to becoming an AI-first nation. By working together with our partners and the government, we aim to accelerate AI adoption and create a sustainable future for all.”
Paving the Way for a Smarter Future
With its strategic partnerships and significant investments, Microsoft is reshaping how industries, governments, and individuals in India harness the transformative power of AI. From fostering innovation in healthcare and finance to empowering startups and developers, these initiatives reflect Microsoft’s vision of driving economic transformation and ensuring inclusive technological growth.