Archive · 16 Sep 2025
India's Data Center Capacity Projected to Surge by 2030
India's data center capacity is expected to increase significantly by 2030.
This growth is driven by increasing internet use, digital payments, and the rise of AI.
The expansion will require substantial investment.
Data localization policies and the need to store and process increasing amounts of data are also contributing factors.
The industry is projected to see a large jump in leasing revenue.
Key players, including telecom companies, are well-positioned to benefit from this growth.
India's data center capacity is expected to increase fivefold by 2030, reaching 8 GW.
This expansion will require a capital expenditure of $30 billion.
Data traffic has increased 30 times since FY17.
AI adoption is expected to boost data center demand.
Data center leasing revenue is projected to reach $8 billion by 2030.
- Who
- India
- What
- Data center capacity expansion
- When
- By 2030
- Where
- India
- Why
- Growing data traffic, data localization, and AI adoption.
- Projected Capacity (2030)
- 8 GW
- Required Capex
- $30 billion
- Data Traffic Growth (Since FY17)
- 30x
- AI Server Power Demand
- 5-6x more than non-AI servers
- Data Center Leasing Revenue (2030)
- $8 billion
- Primary Clients
- Hyperscale CSPs (60%), Banking Sector (17%)
Sources
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Shankar Sharma's reality check on data centre boom: 'Economics are not at all sexy'
'Play the bubble if you want': Shankar Sharma warns against India's data centre hype
The data centre sector is booming. It doesn't need state subsidies.
Data centre development cost in India at $7 per Watt among global lowest, shows strong growth potential: Report
