India is on course to cross 2 GW of operational data centre capacity by end-2026, after adding approximately 130 MW of new supply in the first half of the year and with over 200 MW more expected in the second half, according to a report by CBRE South Asia Pvt. Ltd. The findings position India among Asia Pacific's elite data centre markets, a ranking few economies in the region have achieved at this pace.

Mumbai Dominates New Supply

Mumbai accounted for 94 per cent of all new data centre capacity added in H1 2026, reinforcing its status as the country's undisputed primary hub. The city's concentration of hyperscale operators, submarine cable landing stations, and power infrastructure continues to make it the default gateway for both domestic and international investment in the sector.

Investment Commitments Surge Past $173 Billion

The sector attracted nearly $38 billion in fresh investment commitments during H1 2026 alone, bringing cumulative commitments since 2021 to approximately $173 billion. Of that cumulative figure, hyperscale and colocation segments accounted for close to 62 per cent. Notably, over 15 per cent of cumulative commitments were linked to artificial intelligence-driven demand — a share expected to grow as enterprise AI adoption deepens across sectors.

'India's data centre sector continues to scale at a pace few markets in the region can match,' said Anshuman Magazine, Chairman and CEO, India, South-East Asia, Middle East and Africa, CBRE. 'India's cumulative investment commitments of over $170 billion, Mumbai's continued leadership, and a rising share of AI-linked capital all point to a market that is maturing even as it expands. This also reinforces India's position within Asia Pacific, where data centres remain among investors' most preferred asset classes,' he added.

India Joins Asia Pacific's Top-Tier Markets

The CBRE report upgraded India from a 'High Growth Market' to the 'Leading Data Centre Markets' category within Asia Pacific in 2026, placing it alongside Japan, Australia, and Mainland China. Data centres ranked as the fourth most preferred asset class in CBRE's 2026 Asia Pacific Investor Intentions Survey, signalling sustained institutional appetite.

Domestic Investors and Developers Lead the Charge

The sector's facility quality is also rising sharply. The share of Tier IV data centres — the highest resilience classification — climbed to 43 per cent of overall supply in H1 2026, up from just 21 per cent in 2024. Multi-city portfolios accounted for more than 85 per cent of commitments in H1 2026, reflecting a shift from single-market bets to national-scale strategies.

Domestic investors retained the largest share of cumulative capital deployed since 2021, at 38 per cent, ahead of investors from the United States at 27 per cent. On the supply side, domestic developers delivered 48 per cent of new capacity in H1 2026, outpacing both American and European players — a reversal of the early-cycle dynamic when foreign hyperscalers dominated new builds.

With the second half of 2026 expected to bring even higher additions, India's digital infrastructure buildout is entering a phase where scale, quality, and sovereign capital are converging simultaneously.