Mumbai ranks 15th globally, Hyderabad surges in data centre growth: Knight Frank
Synopsis
India's data centre ambitions are no longer a future bet — they are a present reality. Mumbai's 774 MW operational base and 5 GW pipeline put it among the world's top 15 markets, while Hyderabad's 2.2 GW pipeline, built on just 151 MW today, signals one of the fastest capacity build-outs anywhere in Asia-Pacific. The question is whether India's power grid and regulatory machinery can keep pace.
Key Takeaways
Mumbai ranked 15th globally by live data centre capacity ( 774 MW ) and 11th by development pipeline (nearly 5 GW ), per Knight Frank .
Hyderabad ranked 27th in operational capacity ( 151 MW ) but 19th globally by future pipeline ( 2.2 GW+ ).
Chennai serves as a gateway for Southeast Asian internet traffic; Bengaluru leads in GCC and enterprise colocation demand.
Emerging cities — Pune , NCR , Visakhapatnam , and Jamnagar — are attracting greenfield data centre interest.
Growth drivers include rising AI deployment, cloud adoption, hyperscale investment, and improving subsea cable connectivity.
Key risks flagged: power availability, transmission upgrades, regulatory speed, and renewable energy adoption.
India's data centre sector is consolidating its place on the global digital infrastructure map, with Mumbai ranking 15th worldwide by live operational capacity and Hyderabad emerging as one of the fastest-growing hubs, according to a Knight Frank report released on 6 August 2025. The study, covering 36 leading data centre markets across North America, Europe, Asia-Pacific, the Middle East and Africa, assesses markets on both operational IT capacity and future pipeline.
Mumbai's Standing and Pipeline
Mumbai currently hosts 774 MW of live IT capacity and nearly 5 GW of pipeline capacity, cementing its position as India's largest data centre hub. Globally, the city ranked 11th by development pipeline — a forward-looking indicator that signals strong investor confidence in the market's medium-term trajectory. This places Mumbai firmly among the leading digital infrastructure destinations in the Asia-Pacific region.
Shishir Baijal, Chairman and Managing Director of Knight Frank India, said: 'Mumbai's position among the world's leading operational markets reflects years of investment in connectivity, enterprise demand and cloud infrastructure.' He attributed the city's rise to structural advantages including a large digital consumer base, improving international connectivity through subsea cable networks, competitive operating costs and supportive government policies.
Hyderabad's Rapid Ascent
Hyderabad ranked 27th globally in operational capacity, operating from a comparatively smaller base of 151 MW. However, its development pipeline of more than 2.2 GW earned it the 19th position globally by future capacity — a gap between current scale and pipeline that signals exceptional near-term growth momentum. Baijal noted that 'Hyderabad's strong pipeline highlights the confidence global operators have in India's long-term growth story.'
Chennai, Bengaluru and Emerging Markets
Chennai has further strengthened its role as a gateway for Southeast Asian internet traffic, supported by competitive power costs and favourable policy frameworks. Bengaluru continues to draw demand from Global Capability Centres (GCCs), research and development centres, and enterprise colocation requirements.
Beyond the four established metros, cities such as Pune and the National Capital Region (NCR) are witnessing capacity expansion. Tier-II cities including Visakhapatnam and Jamnagar are attracting interest for large-scale greenfield developments, backed by policy support and planned subsea cable connectivity.
Drivers Behind India's Rise
The report attributes India's growing global rankings to its expanding digital economy, rising cloud adoption, increasing deployment of artificial intelligence (AI), and sustained investments by hyperscale operators. Joseph Thilak, Head of Data Centre Business (India) at Knight Frank India, said sustained cloud adoption, AI-led demand and enterprise digitalisation are pushing operators to expand capacity while also exploring emerging markets.
Key Challenges and What Comes Next
Despite the momentum, the report flagged that the next phase of growth will depend on timely power availability, transmission infrastructure upgrades, faster regulatory approvals, expansion of fibre networks, and greater adoption of renewable energy. According to the report, continued investment in infrastructure, energy security and regulatory efficiency could position India among the world's most significant data centre destinations over the coming decade.
Point of View
But the real story is the gap between pipeline and delivery. Hyderabad's 2.2 GW pipeline dwarfs its 151 MW operational base by a factor of nearly 15 — that ratio is either a sign of extraordinary ambition or a warning that execution risk is underpriced. The bottleneck has never been investor appetite; it has been power infrastructure and approval timelines, the same constraints the Knight Frank report quietly flags at the end. Until India demonstrates it can commission capacity at the speed it announces it, the pipeline numbers will continue to outrun the live megawatts.
NationPress
6 Aug 2026
Frequently Asked Questions
Where does Mumbai rank globally in data centre capacity?
Mumbai ranks 15th globally by live operational IT capacity at 774 MW, and 11th globally by development pipeline at nearly 5 GW, according to the Knight Frank report released on 6 August 2025.
Why is Hyderabad considered one of the fastest-growing data centre markets?
Hyderabad has a development pipeline of more than 2.2 GW against a current operational base of just 151 MW, placing it 19th globally by future capacity. That pipeline-to-base ratio reflects strong confidence from global operators in India's long-term growth.
Which other Indian cities are emerging as data centre hubs?
Chennai is strengthening its role as a Southeast Asian internet gateway, Bengaluru attracts GCC and enterprise colocation demand, while Pune and NCR are expanding capacity. Tier-II cities such as Visakhapatnam and Jamnagar are drawing greenfield investment backed by policy support and planned subsea cable connectivity.
What is driving India's data centre growth?
Key drivers include rising cloud adoption, increasing AI deployment, sustained hyperscale operator investment, a large digital consumer base, and improving international connectivity through subsea cable networks, as identified in the Knight Frank report.
What are the main challenges India must overcome to sustain data centre growth?
The Knight Frank report flags timely power availability, transmission infrastructure upgrades, faster regulatory approvals, fibre network expansion, and greater renewable energy adoption as the critical factors that will determine whether India reaches the top tier of global data centre destinations over the next decade.
