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Events / Business / India Data Center Market Expansion
Business market forecast

India Data Center Market Expansion

Analysis based on 22 articles · First reported Apr 13, 2026 · Last updated Apr 15, 2026

Sentiment
70
Attention
6
Articles
22
Market Impact
General
Live prominence charts, article sentiment distribution, and event development timeline available on the Ergen Dashboard
Market Impact

The projected growth of India's data center market to $22 billion by 2030, driven by AI adoption and significant investments, signals a robust expansion in digital infrastructure. This development is expected to attract further foreign institutional investment, benefiting companies involved in data center construction, cloud services, and telecommunications within India.

Information Technology Real Estate Telecommunications
Event Summary

India's data center market is set for significant expansion, with capacity projected to reach 5 GW by 2030, up from 1.4-1.6 GW currently. A report by Vestian indicates the market will grow from $10 billion in 2025 to $22 billion by 2030, supported by $60-70 billion in announced investments over the next five years. This growth is fueled by increasing AI adoption, hyperscale cloud deployments, and enterprise digital transformation. India offers competitive construction costs compared to mature markets like Singapore and Japan, attracting substantial foreign institutional investment. India — Mumbai leads in operational capacity, followed by India — Chennai and India — National Capital Region (India), with emerging hubs like India — Pune, India — Bengaluru, and India — Hyderabad also gaining traction. Shrinivas Rao, CEO of Vestian, highlighted strong policy support and incentives positioning India as a global data center and AI hub.

Entities Involved
priv
Vestian
Vestian is the real estate consultant that published the report forecasting India's data center market growth and capacity expansion.
Importance 90.0 Sentiment 60.0
per
Shrinivas Rao
Shrinivas Rao, CEO of Vestian, provided insights on India's data center sector transformation and its potential to lead in AI infrastructure.
Importance 70.0 Sentiment 60.0
loc
India — Chennai
India — Chennai is a significant hub for data centers in India, holding an 18% share of the national capacity and serving as a major global data gateway.
Importance 50.0 Sentiment 50.0
loc
India — National Capital Region (India)
The India — National Capital Region (India) contributes 11% to India's national data center capacity.
Importance 40.0 Sentiment 50.0
loc
India — Bengaluru
India — Bengaluru accounts for 7% of India's operational data center capacity and is emerging as a key secondary hub.
Importance 30.0 Sentiment 50.0
loc
India — Pune
India — Pune accounts for 8% of India's operational data center capacity and is emerging as a key secondary hub.
Importance 30.0 Sentiment 50.0
loc
India — Hyderabad
India — Hyderabad accounts for 5% of India's operational data center capacity and is emerging as a key secondary hub.
Importance 30.0 Sentiment 50.0
loc
India — Mumbai
Importance 0.0 Sentiment 0.0
cnt
Japan
Importance 0.0 Sentiment 0.0
cnt
Singapore
Importance 0.0 Sentiment 0.0
cnt
India
Importance 0.0 Sentiment 0.0
Relationships
Japan related ↔ Singapore
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