India’s Data Centre Market Size to Double to $22 Billion by 2030

India’s Data Centre Market Size to Double to $22 Billion by 2030

India’s data centre industry is projected to more than double in value, rising from approximately $10 billion in 2025 to $22 billion by 2030, according to the report cited by Business Standard. The rapid growth is being driven by surging demand for cloud computing, artificial intelligence workloads, and increasing digital consumption across sectors. This reflects how AI and data-heavy applications are becoming central to India’s digital economy.

A major driver behind this expansion is the aggressive build-out of infrastructure capacity. India currently operates around 1.4–1.6 GW across 164 data centre facilities, with more than 700 MW already under construction and another 1–1.2 GW in the planning pipeline. Installed capacity is expected to reach 4–5 GW by 2030, showing strong momentum in both metro hubs and emerging regional markets.

The report also highlights strong investment confidence in the sector. Between 2020 and 2024, the industry attracted $13–15 billion in investments, with foreign institutional investors contributing nearly 80% of inflows. In addition, $60–70 billion in new investments have reportedly been announced for the next five years, signaling sustained interest from hyperscalers, joint ventures, and infrastructure funds.

Overall, the article positions India as an emerging Asia-Pacific hub for data centres and AI infrastructure, supported by policy incentives, lower construction costs, and rising digital demand from services such as payments, OTT platforms, and 5G. Cities like Mumbai, Chennai, NCR, Bengaluru, and Hyderabad are leading the expansion, while Tier-II cities including Jaipur are also beginning to attract capacity growth.

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