The real estate advisory firm CBRE reported that investments in Indian data centres might surpass the $100 billion mark by the end of 2027. Between 2019 and 2024, the country attracted investment commitments of a whooping $60.3 billion from international and domestic investors.
In the same report, CBRE shared that India’s data centre capacity is projected to reach 2070 MW (megawatts) by the end of 2025. Ram Chandnani, MD of CBRE, said this growth will strengthen India’s digital infrastructure and set the country as the leader in next-gen technologies, such as AI, 5G, and cloud computing. At present, India’s data centre’s capacity is around 1,255 megawatts, with nearly 475 MW under construction in Mumbai, Chennai, and NCR. This year, data centres’ capacity is expected to reach 1,600 megawatts.
In 2024, India attracted $19 billion in investment, with Maharashtra, Tamil Nadu, Telangana, Uttar Pradesh, and West Bengal leading the way. Anshuman Magazine, the Chairman and CEO of India, South-East Asia, Middle-East, and Africa CBRE, acknowledged India’s data centres’ unbelievable growth. Digital consumption, government initiatives, and impressive domestic and international investment drive this growth.Â
The demand for banking, financial services, insurance technology and the telecommunication sector, along with state-level initiatives, will continue the growth of Indian data centres. Currently, Tier-II cities, namely Kochi, Ahmedabad, Lucknow, and Visakhapatnam, are emerging as major locations for data centres.