Is India’s Data Centre Industry Poised for an Eightfold Growth by 2030?

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Is India’s Data Centre Industry Poised for an Eightfold Growth by 2030?

Synopsis

India's data centre industry is on the brink of explosive growth, projected to increase eightfold by 2030. With major investments and a surge in digital transformation, learn how the country is positioning itself as a global data hub in this exciting landscape.

Key Takeaways

  • India's data centre capacity expected to reach 8 GW by 2030.
  • Internet penetration has risen from 33.4% in 2019 to 55.3% in 2025.
  • Average monthly data usage per user has tripled.
  • Over 260 operational data centres across major cities.
  • Major investments from global companies are shaping the market.

New Delhi, Nov 4 (NationPress) India's data centre industry is experiencing a remarkable surge, fueled by the nation's swift digital transformation, escalating internet usage, and increasing demand for AI and cloud-centric services.

With Google investing $15 billion, India is establishing itself as a significant global data hub.

Projections indicate that India's data centre capacity will expand from the current 1.2 GW to approximately 8 GW by 2030, growing at an annual rate of nearly 17%, as per a Trade Brains report.

This advancement will position India among the fastest-growing data centre markets worldwide.

The rise in internet penetration and data consumption serves as a pivotal growth factor.

India's internet penetration has surged from 33.4% in 2019 to 55.3% by early 2025, boasting over one billion active users.

Moreover, average monthly data usage per individual has tripled from 11.5 GB in 2019 to nearly 32 GB by 2025, thanks to the introduction of 5G networks, affordable data plans, and the increasing popularity of streaming and online entertainment.

The digital transformation of the banking and finance sector, along with a surge in e-commerce and cloud-based enterprises, has escalated the need for dependable data storage and processing facilities.

As AI applications and OTT platforms continue to proliferate, the necessity for large-scale, energy-efficient data centres becomes increasingly vital.

India's data centre market has seen substantial growth in recent years, climbing from a capacity of 590 MW in 2019 to around 1.2 GW currently.

The industry generated approximately $1.2 billion in revenue in 2024, and projections from Statista suggest this figure could rise to $11.53 billion by 2025.

Currently, India hosts over 260 operational data centres, primarily concentrated in major hubs such as the Mumbai Metropolitan Region (MMR), Chennai, Delhi, Hyderabad, and Bengaluru. The MMR and Chennai collectively account for nearly 70% of the total data centre capacity.

Data from Anarock Capital reveals that approximately 60% of data centre clients are enterprises, 30% are hyperscalers like Google, Amazon Web Services, and Microsoft, while the remaining 10% are AI-focused users.

With a rapid increase in AI workloads, the demand from all three segments is projected to grow further.

Numerous global and domestic firms are expanding their presence within India's data centre landscape. Notable international players such as Equinix, Digital Realty, NTT Global Data Centres, CyrusOne, and Meta Platforms are making significant investments in the country.

AdaniConnex, a partnership between Adani Group and EdgeConneX, aims to develop 1 GW of data centre capacity over the next decade.

Similarly, Digital Connexion, a collaboration among Digital Realty, Brookfield Infrastructure, and Jio Platforms, is aggressively expanding. Other key players include ST Telemedia Global Data Centres, which has partnered with Tata Communications, Hiranandani Group's Yotta Data Services, and Bharti Airtel's Nxtra.

CtrlS operates one of Asia’s largest Rated-4 data centre networks across major cities including Mumbai, Noida, Bengaluru, and Hyderabad.

Point of View

I believe India's rapid growth in the data centre industry reflects its commitment to embracing digital transformation. This evolution not only enhances our global standing but also creates numerous opportunities for innovation and investment. Staying aligned with technological advancements is crucial for the country's future.
NationPress
09/11/2025

Frequently Asked Questions

What is driving the growth of India's data centre industry?
The growth of India's data centre industry is primarily driven by rapid digital transformation, increasing internet penetration, and rising demand for AI and cloud-based services.
How much is India's data centre capacity expected to grow by 2030?
India's data centre capacity is projected to expand from 1.2 GW to about 8 GW by 2030, demonstrating a significant annual growth rate of nearly 17%.
What are the major hubs for data centres in India?
The major hubs for data centres in India include the Mumbai Metropolitan Region (MMR), Chennai, Delhi, Hyderabad, and Bengaluru, with MMR and Chennai alone accounting for nearly 70% of the total capacity.
What role do AI and cloud-based services play in this industry?
AI and cloud-based services are crucial in driving the demand for data centres, as businesses increasingly rely on these technologies for efficient data storage, processing, and accessibility.
Which companies are investing in India's data centre market?
Numerous companies including Google, Equinix, Digital Realty, and AdaniConnex are heavily investing in India's data centre market, reflecting its growth potential.
Nation Press