India has emerged as the second-largest data centre market in the Asia-Pacific region, highlighting its growing role in the global digital economy and increasing appeal for technology investments. According to a report by Cushman & Wakefield, rapid growth in cloud computing, artificial intelligence (AI), digital services, and data consumption has significantly expanded the country’s data centre capacity.
Major cities including Mumbai, Chennai, Hyderabad, Bengaluru, and Delhi-NCR continue to attract investments from hyperscalers, cloud providers, and enterprise customers. Supportive government policies, data localisation requirements, strong connectivity, and competitive operating costs have further strengthened India’s position as a leading data centre destination.
The sector is expected to drive job creation, boost digital capabilities, and support emerging technologies across industries such as finance, healthcare, manufacturing, and e-commerce.
Key Highlights:
- India is now the second-largest data centre market in Asia-Pacific.
- Growth is driven by cloud computing, AI, and digital transformation.
- Major hubs include Mumbai, Chennai, Hyderabad, Bengaluru, and Delhi-NCR.
- Rising investments in renewable energy, power infrastructure, and connectivity support expansion.
- Increased demand from hyperscalers and cloud service providers is fueling capacity growth.
- The sector is expected to create jobs and strengthen India's digital economy.
