The Telangana government has signed an MoU with Microsoft to establish a Green Skills and Applied AI Centre of Excellence (CoE) in Hyderabad, with operations expected to begin by August 2026. The facility will focus on Green Pharma and aims to equip students and professionals with industry-ready skills at the intersection of artificial intelligence and sustainable manufacturing. Hyderabad is one of five cities across India where such centres are being set up under a national initiative to prepare the workforce for the rapidly expanding green economy.
What Is the Green Skills and Applied AI Centre of Excellence?
The CoE is being developed in partnership with Microsoft, the 1M1B Foundation (One Million for One Billion), and the MeitY Startup Hub under the Union Ministry of Electronics and Information Technology. It will feature dedicated learning zones focused on Applied AI, Green Pharma, solar energy, electric vehicles, and wind energy.
Participants will receive hands-on training through industry-led projects, innovation cohorts, internships, mentorship programmes, and incubation support. The centre is designed as a workforce development hub rather than a conventional skilling centre. Learners will apply AI to solve real-world sustainability and industrial challenges across areas such as renewable energy, climate resilience, advanced manufacturing, agriculture, and the circular economy.
The 1M1B Foundation, which is spearheading the implementation, is a United Nations-accredited non-profit founded by Manav Subodh. It has trained over 900,000 youth and runs programmes across more than 5,000 schools and colleges in India. MeitY Startup Hub, the nodal agency for startup ecosystem development under the Ministry of Electronics and Information Technology, will strengthen pathways for mentorship, incubation, startup internships, and access to grant-linked support.
Why Telangana and Why Green Pharma?
Telangana is already one of India’s leading pharmaceutical and vaccine manufacturing hubs. Hyderabad, often called India’s vaccine capital, houses a dense cluster of global pharma companies, biotechnology firms, and research institutions. The state accounts for roughly one-third of India’s pharmaceutical output and hosts major players such as Dr. Reddy’s, Aurobindo Pharma, and Bharat Biotech.
The Green Pharma focus of the CoE aligns directly with Telangana’s ambition to move beyond scale-driven manufacturing toward sustainable, innovation-led growth. The pharmaceutical industry, while vital, is energy-intensive and generates significant waste. Green Pharma refers to the adoption of clean technologies, zero liquid discharge systems, centralized waste treatment, energy-efficient manufacturing processes, and the use of renewable energy in drug production.
Rajiv Kumar, Managing Director and President of Microsoft India Development Centre (IDC) in Hyderabad, noted that AI is rapidly becoming the operating system for sustainable industries. In life sciences and pharmaceutical manufacturing, AI can improve productivity, optimise energy use, accelerate research, and enable more sustainable operations. The CoE will train a talent pipeline that can drive these transformations.
The National Picture: Five Centres Across India
The Hyderabad CoE is part of a larger national initiative by 1M1B Foundation and Microsoft, in collaboration with MeitY Startup Hub, to set up five Green Skills and Applied AI Centres of Excellence across India.
| Location | Status |
|---|---|
| Bengaluru, Karnataka | Launched (February 2026) |
| Hyderabad, Telangana | Operational by August 2026 |
| Lucknow, Uttar Pradesh | Launched (July 2026) |
| Noida, Uttar Pradesh | Planned |
| Shillong, Meghalaya | Planned |
The national initiative aims to engage 100,000 youth in Applied AI and Green Skills by 2030 while creating pathways to 50,000 jobs, internships, apprenticeships, and entrepreneurial opportunities. In the first year alone, the programme will train 20,000 learners, connect 10,000 of them with career opportunities, and support the development of 50 AI-powered climate innovation use cases across the country.
Telangana’s Larger Vision: The Next-Gen Life Sciences Policy
The Green Skills CoE is a direct response to the workforce demands created by Telangana’s ambitious Next-Gen Life Sciences Policy 2026-30, which was unveiled at the World Economic Forum (WEF) annual meeting in Davos in January 2026. The policy targets $25 billion in investments and the creation of five lakh high-quality jobs in the life sciences sector.
A flagship project under this policy is the Green Pharma City, a dedicated sustainable pharmaceutical manufacturing hub that will integrate green infrastructure such as zero liquid discharge systems, centralized waste management, and renewable energy grids. The CoE will supply the skilled workforce needed for this transformation.
The policy also envisions other infrastructure projects, including ten Pharma Villages spanning 1,000 to 3,000 acres each along the Outer Ring Road in Hyderabad, expansion of Genome Valley (Asia’s first and largest pharma and biotech cluster), and strengthening of the Medical Devices Park. A dedicated Life Sciences Innovation Fund with an initial corpus of ₹100 crore, scalable to ₹1,000 crore, has been created to support early-stage and growth-stage ventures.
IT and Industries Minister D. Sridhar Babu stated that the state has already attracted investments of ₹73,000 crore in the life sciences sector in the last two years and is now aiming for ₹2 lakh crore over the next five years under the new policy. He emphasized that building a future-ready workforce is as critical as building infrastructure.
Key Takeaways
- The Telangana government signed an MoU with Microsoft to establish a Green Skills and Applied AI Centre of Excellence in Hyderabad, expected to be operational by August 2026.
- The CoE will focus on Green Pharma and will feature learning zones in Applied AI, solar energy, electric vehicles, and wind energy.
- It is being set up in partnership with Microsoft, 1M1B Foundation, and MeitY Startup Hub.
- The Hyderabad CoE is one of five centres being established across India, with others in Bengaluru, Lucknow, Noida, and Shillong.
- The national initiative aims to engage 100,000 youth and create pathways to 50,000 jobs by 2030.
- The CoE supports Telangana’s Next-Gen Life Sciences Policy 2026-30, which targets $25 billion in investments and five lakh jobs, and includes the flagship Green Pharma City project.