The race to capture India’s burgeoning AI and digital economy is heating up, with Amazon becoming the latest tech giant to announce a massive investment in the country. Just a day after Microsoft revealed its $17.5 billion commitment to AI infrastructure in India, Amazon has announced plans to invest over $35 billion across all its businesses in the country by 2030.
The announcement came on December 10, 2025, at the sixth edition of the Amazon Smbhav Summit in New Delhi, positioning Amazon as a major player in India’s digital transformation alongside Microsoft and Google, both of which have made substantial AI-focused commitments to the Indian market in recent months.
Amazon’s India Play: Beyond Just AI
Unlike Microsoft’s purely AI-focused investment, Amazon’s $35 billion commitment spans its entire ecosystem in India, with strategic pillars around AI-driven digitization, export growth, and job creation. This builds on nearly $40 billion the company has already invested in the country, establishing it as the largest foreign investor in India, according to an Economic Impact Report by Keystone Strategy.
“We are humbled to have been a part of India’s digital transformation journey over the past 15 years, with Amazon’s growth in India perfectly aligned with the vision of an Atmanirbhar and Viksit Bharat,” said Amit Agarwal, Senior Vice President of Emerging Markets at Amazon. “We have invested at scale in growing the physical and digital infrastructure for small businesses in India, creating millions of jobs, and taking Made-in-India global.”
The company’s existing investments have digitized over 12 million small businesses, enabled $20 billion in cumulative e-commerce exports, and supported approximately 2.8 million direct, indirect, induced, and seasonal jobs across industries in India in 2024. By 2030, Amazon projects this number will grow to 3.8 million jobs.
Making AI Accessible to Millions
Central to Amazon’s new investment is an ambitious AI democratization push. The company plans to bring AI benefits to 15 million small businesses by 2030, with sellers on Amazon.in already using AI-powered tools like Seller Assistant and Next Gen Selling. Additionally, Amazon aims to empower 4 million government school students with AI education through curriculum development, technology career tours, hands-on AI sandbox experiences, and teacher training programs.
For consumers, Amazon is enhancing shopping experiences through innovations like Lens AI for visual discovery, conversational shopping with Rufus, and multilingual experiences designed to overcome literacy barriers. This comprehensive approach supports India’s “AI for All” vision and aligns with the National Education Policy 2020.
The company’s investment will also focus on expanding logistics infrastructure, supporting small business growth, and strengthening its fulfillment and delivery networks. By 2030, Amazon aims to quadruple cumulative e-commerce exports enabled from India to $80 billion.
The Battle for India’s AI Future
Amazon’s announcement comes amid a flurry of activity from global tech giants vying for position in India’s AI market. Microsoft’s $17.5 billion commitment, announced by CEO Satya Nadella following a conversation with Prime Minister Narendra Modi, represents the company’s largest-ever investment in Asia and focuses specifically on building AI infrastructure, skills, and sovereign capabilities.
Earlier this year, Google announced a $15 billion investment over five years to build its first AI hub in Visakhapatnam, Andhra Pradesh. The gigawatt-scale data center will include AI infrastructure, renewable energy, expanded fiber-optic networks, and a new international subsea gateway, marking Google’s largest commitment in India and its biggest AI facility outside the United States.
Other AI companies have also been eyeing the Indian market. OpenAI has reportedly been planning to set up a 1GW datacenter in India and has established an office in New Delhi, with hiring underway for roles in Delhi, Mumbai, and Bengaluru. Anthropic has also announced plans to set up an India office in Bengaluru.
Wooing Indian Users
Beyond infrastructure investments, AI companies have been actively courting Indian users through various partnerships and offers. ChatGPT introduced its Go plan first in India, while Perplexity partnered with Airtel to provide its Pro plan free to all Airtel subscribers. Google similarly tied up with Jio to offer its Pro plans to users and announced free access to its Pro plans for Indian students for a year.
These investments and partnerships underscore India’s growing importance as both a market and a strategic hub for AI development. With its large, tech-savvy population, growing digital infrastructure, and government support for AI adoption, India has emerged as a critical battleground for tech giants looking to shape the future of artificial intelligence.
As Amazon, Microsoft, and Google pour billions into the country, India stands to benefit from enhanced digital infrastructure, job creation, and democratized access to cutting-edge AI technologies. The question now is which company will best leverage its investments to capture the hearts, minds, and wallets of India’s 1.4 billion people.