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The Economic Times
India’s next data centre race will be won on speed, scale and sustainability
India is entering a transformative phase in its data centre industry, projected to see a fivefold increase in capacity by 2030. The focus will shift from simply building capacity to executing projects efficiently, optimizing speed and sustainability. Innovations such as liquid cooling and a new design paradigm are becoming essential as data centre demands evolve, with a focus on higher density and efficient energy usage. Key hubs like Mumbai, Chennai, and others are expected to gain traction, driven by infrastructure advancements and increasing computing demands.
MonitorConfidence: HighMid term horizon
Published 7 May 2026, 18:31 UTC4 min read
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Summary
TL;DR
- Data centre capacity in India is expected to reach over 9 GW by 2030.
- Focus on speed of delivery and sustainable practices as industry priorities.
- New data centre hubs emerging in Hyderabad, Vizag, and Jamnagar.
- Liquid cooling is becoming essential due to rising computing demands.
- Operators with strong partnerships and modular designs will excel.
Interesting facts
- High-density data centre designs are focusing on 40-400 kW per rack.
- Cooling-water consumption in data centres projected to increase 11x by 2028.
- Construction costs in India are 20-30% lower than in Western countries.