Investments

L'Oréal to Invest $383 Million in AI-Driven Beauty Tech Hub in Hyderabad

French cosmetics giant L'Oréal said on Wednesday it will establish a beauty technology hub in the southern Indian city of Hyderabad with an initial investment of over 35 billion rupees ($383.4 million).

The hub aims to serve as a global base for AI-driven beauty innovation, create 2,000 technology jobs through 2030, and accelerate the rollout of advanced AI beauty solutions, the company said in a statement.

Nicolas Hieronimus, L'Oréal's CEO, and the state government of Telangana formalized the partnership at the World Economic Forum in Davos, Switzerland.

The investment represents a significant commitment to India's growing technology ecosystem. Telangana, the state where Hyderabad is located, has rapidly emerged as a key investment and technology hub in southern India, attracting major global technology companies and establishing itself as a center for innovation.

The beauty tech hub is expected to leverage India's deep pool of technology talent and expertise in artificial intelligence to develop next-generation beauty solutions for L'Oréal's global operations. The facility will focus on AI-driven innovation across the beauty and cosmetics sector, potentially including personalized beauty recommendations, virtual try-on technologies, and data-driven product development.

The announcement comes as bilateral trade between India and France continues to strengthen. Trade between the two nations stood at $15 billion in 2024, and Indian Prime Minister Narendra Modi and French President Emmanuel Macron have been forging warmer diplomatic and economic ties.

The two countries have also been working to modernize their tax treaty since 2024, adapting global standards on tax transparency to facilitate smoother business operations and cross-border investments.

L'Oréal's investment adds to a growing list of multinational corporations establishing advanced technology centers in India, drawn by the country's skilled workforce, competitive costs, and expanding digital infrastructure. The beauty and personal care sector has increasingly turned to AI and technology solutions to enhance customer experiences and optimize product development.