AWS Hyderabad Chandanvelly data center, Telangana, India

Amazon Web Services' Chandanvelly data centre sits inside the state industrial corporation's park at Chandanvelly, in Shabad mandal of Rangareddy district, about 26 kilometres from Hyderabad's Shamshabad airport and 8 kilometres from Shabad town. Amazon Data Services India built it on a plot of 137,034 square metres, about 34 acres, spread over survey number 190 of Chandanvelly village and 195 of Hythabad village, with the hamlet of Anthareddyguda half a kilometre away.

The site was one of two data centres, together worth 11,624 crore rupees or about 1.6 billion dollars, that Amazon put before Telangana's environmental regulators in early 2020; the other was at Meerkhanpet in Kandukur mandal. The State Expert Appraisal Committee recommended clearance on January 31, 2020, a step required for any building over 20,000 square metres. Amazon's environment management plan for Chandanvelly described 66,003 square metres of floor space in two buildings: the first drawing 5 megavolt-amperes from the grid, the second, covering phases two and three, drawing 48 megavolt-amperes through its own substation. It put the total cost at about 5,821 crore rupees, of which about 5,115 crore was computer equipment and machinery and about 24 crore was land. The plan said the finished site would take 159 kilolitres of fresh water a day from the corporation's pipeline next to the plot, draw no groundwater, and treat its sewage on site for toilet flushing and gardening.

Amazon launched its Hyderabad cloud region in 2022, and by the end of 2025 had invested more than 1.3 billion dollars in cloud infrastructure there. The company says 250 students have gone through its data centre training programme in Telangana, and 110 of them were hired into its operations teams; the latest group of 51 graduated from Vardhaman Engineering College in Shamshabad. Near Hyderabad, it says, it paid for the rehabilitation of ten storage ponds and the digging of 100 new ones across 12 villages with the nonprofit SEARCH, which it counts as about 86 million litres of water a year.

The park itself was carved out of farmland. In January 2024 families displaced by it told Deputy Chief Minister Mallu Bhatti Vikramarka that the previous BRS government had forcibly acquired more than 1,000 acres at 15 lakh rupees an acre when the market price was 1.5 crore, and that officials surveying survey number 190 had paid compensation to people who did not own land there while passing over the real owners. Bhatti promised an inquiry that would spare no official or broker found to have cheated the farmers, and jobs for local people in the park's new industries.

Chandanvelly is now part of a much larger Amazon build. On July 15, 2026, Chief Minister A. Revanth Reddy was to lay the foundation stone for Amazon's largest data centre campus in Bharat Future City, and the state has allotted 300 acres for the project, 202 in Future City and 98 at Chandanvelly. The plan is worth about 60,000 crore rupees, with a first phase due within 24 months and the rest over ten years. Telugu outlets reported in December 2025 that Microsoft was also building near Chandanvelly in Shabad, and that land prices in the area were expected to climb. Anurag Khilnani, AWS director of data centre delivery, said: "The support of the State Government of Telangana has been essential to fast-tracking the build of India's digital backbone in Hyderabad."

The pace worries some. In July 2026 Donthi Narasimha Reddy, an environment and public policy expert, urged that data centres face mandatory environmental impact assessments and public hearings, pointing to a hyperscale complex proposed at Chandanvelly and neighbouring Manchanpally with a projected demand of 645.07 megawatts and 200 kilolitres of water a day. Summer temperatures in the area run between 40 and 44 degrees Celsius and reach 45 in May, and he argued that the heat these buildings shed into the air sets them apart from the townships they are classified alongside. "This entire cluster is expected to come up in Chandanvelly, Bharat Future City, Fab City, and the proposed Chevella data centre city," he said.

Environmental clearance for large data centre buildings in Telangana runs through the State Expert Appraisal Committee, which recommended Chandanvelly's in 2020.