Zoom expands data centre capacity in India to meet growing demand for its cloud-based business communication service

Zoom is ramping up its data centre capacity in India as demand for its cloud-based business communication service, Zoom Phone, surges. The company, which previously operated two data centres in Mumbai and Hyderabad, has now added six more in Maharashtra, Chennai, Bengaluru, Hyderabad, Mumbai, and Delhi to better support its expanding user base.

“Expansion depends on where we see demand. In these six circles, we have customers with employees in these locations. If demand rises in other areas, we will further expand our data center capacity," Velchamy Sankarlingam, President of Product and Engineering at Zoom, told Financial Express.

Currently, Zoom Phone is live in Maharashtra and Chennai, with testing underway in other circles. The service enables businesses to make and receive calls via WiFi or mobile data, switch seamlessly between video and voice calls, and integrate with chat and call management tools.

Zoom officially entered India’s cloud telephony sector in October 2024 after securing a license from the Department of Telecommunications (DoT). With this, it competes with Exotel, Ozonetel, Knowlarity, Twilio, and business communication giants like Cisco WebEx and Microsoft Teams.

Emphasizing Zoom’s unique advantage, Sankarlingam said, “We offer video, audio, chat, and customer management—all in one place, unlike many competitors.”

Adoption has been particularly strong among multinational corporations (MNCs), as many Indian businesses still rely on traditional PBX (Private Branch Exchange) systems and require modern cloud-based solutions.

Despite a post-pandemic slowdown, Zoom continues to innovate, particularly with AI. The company has integrated Zoom AI Companion, a generative AI tool that summarizes customer and team chats; provides meeting transcripts and language translations; composes emails and calendar invites; and generates post-call follow-ups.

“AI is top of mind for everybody. While competitors charge around $30 per month for AI, Zoom includes AI capabilities in its subscription at a lower cost,” said Sankarlingam.

Since its launch in 2023, AI Companion has been enabled on more than 4 million Zoom accounts.