India's data centre capacity set to quadruple by 2030, report finds

India's data centre sector is poised for substantial expansion over the coming decade, with capacity expected to quadruple from current levels to reach 101 million square feet by 2030, according to market analysis. The dramatic growth reflects increasing demand for digital infrastructure as cloud adoption accelerates across the country's enterprises, financial institutions, and government services.

The expansion will be underpinned by investment commitments exceeding $300 billion, indicating strong confidence among developers and operators in the sector's long-term prospects. These capital inflows are expected to drive not only capacity additions but also technological upgrades to meet evolving standards for efficiency, security, and sustainability.

Developers are strategically focusing growth efforts on key metropolitan regions, with Delhi-NCR and Hyderabad identified as primary expansion hubs. These markets offer advantages including established technology ecosystems, reliable power infrastructure, connectivity advantages, and proximity to major business centres. Secondary markets are also emerging as alternative locations for distributed data centre networks.

The sector's growth trajectory underscores India's positioning as a critical node in global digital infrastructure networks. Increased data centre capacity is expected to strengthen India's competitiveness in attracting technology investments, supporting digital transformation initiatives, and enabling new high-tech industries dependent on robust computing infrastructure.