Archive · 14 Jan 2026
Hyderabad Emerges as Top Data Centre Hub
Hyderabad is becoming a major hub for data centres in India.
The city has a lot of data centres because companies like Microsoft and Amazon are investing there.
The government helps by making it easy to set up these centres and providing cheap land and reliable power.
Data centres use a lot of electricity, but Hyderabad is preparing for this by using renewable energy and upgrading power infrastructure.
This helps the city grow as a top place for data centres, even more than Mumbai and Chennai.
Hyderabad's data centre capacity reached 859 MW in 2025, driven by investments from Microsoft, Amazon, CtrlS, and Sify.
Supportive state policies, lower land costs, and reliable power supply have accelerated data centre growth in the city.
Data centres account for 0.5% of India's total electricity consumption in 2025, with projections to rise to 3% by 2030.
Telangana's proactive measures, including dual power grids and renewable energy access, ensure power supply stability.
Hyderabad is projected to reach a data centre capacity of 2,961 MW by 2031, with a 28% compounded annual growth rate.
- Who
- Hyderabad, Telangana government, data centre operators (Microsoft, Amazon, CtrlS, Sify)
- What
- Rapid growth of data centres in Hyderabad due to supportive policies and investments
- When
- Installed capacity reached 859 MW in 2025, with projections for 2,961 MW by 2031
- Where
- Hyderabad, Telangana, India
- Why
- Surging demand from AI and cloud services, supportive state policies, lower land costs, and power supply resilience
- Installed Capacity
- 859 MW in 2025
- Growth Rate
- 28% CAGR
- Power Demand Share
- 0.5% of India's total in 2025
- Renewable Energy Access
- Up to 100%
- Land Cost Savings
- 40% lower than other metros
- Operational Facilities
- 26
- Major Investors
- Microsoft, Amazon, CtrlS, Sify
- Projected Capacity by 2031
- 2,961 MW