Will India’s edge data centre capacity reach 200-210 MW by 2027?
Click to start listening
Synopsis
India’s edge data centre capacity is expected to undergo a remarkable transformation, soaring to 200-210 MW by 2027. This significant growth, driven by emerging technologies, will reshape the digital landscape, enhancing real-time data processing capabilities. Discover how traditional and edge data centres will complement each other in this evolving ecosystem.
Key Takeaways
- Projected capacity increase of India's edge data centres to 200-210 MW by 2027.
- Edge data centres currently represent 5% of total capacity, expected to rise to 8%.
- These centres offer real-time data processing with low latency.
- Challenges include security risks and a lack of skilled professionals.
- Global edge data centre capacity is led by the United States.
New Delhi, July 24 (NationPress) India’s edge data centre capacity is set to undergo substantial growth, projected to soar to 200-210 megawatts (MW) by 2027, up from 60-70 MW in 2024. This remarkable increase, which represents a threefold rise, is primarily driven by the rapid adoption of emerging technologies, as detailed in a recent report.
Currently, edge data centres constitute approximately 5 percent of India’s total data centre capacity, with forecasts indicating this figure will rise to 8 percent by 2027, according to ICRA's latest insights.
Edge data centres are smaller, decentralized facilities situated closer to end-users and devices. Unlike traditional data centres, which are typically large and centralized, edge data centres facilitate real-time data processing with reduced latency.
“Edge data centres vary significantly from traditional ones in aspects such as size, location, scale, construction time, capital expenditure per MW, and proximity to end users,” explained Anupama Reddy, Vice President and Co-Group Head, Corporate Ratings at ICRA.
In the context of India, traditional and edge data centres work as complementary elements of the digital infrastructure, Reddy noted.
As the cloud ecosystem in India continues to evolve, traditional data centres will sustain large-scale computing, artificial intelligence (AI), and cloud workloads, while edge data centres will enable localized services and immediate processing.
Both types of data centres are anticipated to operate under a hub-and-spoke model, enhancing efficiency across sectors like healthcare, banking, agriculture, defense, and manufacturing.
Despite the optimistic forecasts, edge data centres in India face several challenges, including security risks due to remote deployments, especially in tier 2 and tier 3 cities, as highlighted in the report.
Additionally, rapid technological advancements pose risks of obsolescence, a lack of skilled professionals in remote locations, and potential interoperability issues with traditional data centres.
According to the report, the United States holds over 44 percent of global edge data centre capacity, followed by Europe, the Middle East, and Africa at 32 percent, and the Asia Pacific (APAC) region at 24 percent.
Point of View
I firmly believe that India's edge data centre growth represents a pivotal shift in our digital landscape. This evolution not only aligns with global trends but also highlights our commitment to enhancing local services and efficiency across various sectors. However, addressing the challenges of security and skilled labor will be essential to fully realize this potential.
NationPress
10/09/2025
Frequently Asked Questions
What is the projected capacity of India's edge data centres by 2027?
India's edge data centre capacity is projected to reach 200-210 megawatts (MW) by 2027.
How does edge data centre capacity compare to traditional data centres?
Currently, edge data centres account for about 5 percent of India's total data centre capacity, expected to rise to 8 percent by 2027.
What are the main benefits of edge data centres?
Edge data centres enable real-time data processing with minimal latency, making them ideal for applications requiring instant responsiveness.
What challenges do edge data centres face in India?
Key challenges include security vulnerabilities, rapid technological changes, a shortage of skilled professionals, and interoperability issues with traditional data centres.
Which regions dominate global edge data centre capacity?
The United States holds over 44 percent of global edge data centre capacity, followed by Europe, the Middle East, and Africa at 32 percent, and the Asia Pacific region at 24 percent.
