ResearchAndMarkets.com values the Indian data center market at US$ 6.48 billion in 2024 and projects it to reach US$ 10.70 billion by 2030 – rising at a CAGR of 8.72%.
A related report says wholesale colocation continues to dominate the colocation market in India, with a higher capacity and market share compared with retail colocation. The demand for wholesale colocation is expected to grow owing to the growth in the use of cloud-based services – with cloud operators are likely to store part of their workloads via wholesale colocation.
The report references strategic integration of technological innovation, sustainability and global partnerships as evident in the Indian data center market. This “dynamic environment” is said to be revolutionizing the digital economy of India – making it more competitive internationally in terms of digital infrastructure.
The report references Turner & Townsend’s Data Center Cost Index for 2024 finding the construction cost of data centers in Mumbai is $6.60 per watt, which is comparatively lower in comparison with Tokyo and Sydney. The costs are expected to rise year over year due to several factors, including supply chain issues, inflation, and interest rates.
Data Center Policy formulated by states individually is said to give an edge for attracting investments into respective states.
Currently, states like Maharashtra, Uttar Pradesh, Tamil Nadu, Telangana, Karnataka, West Bengal and others have their own data center policy focused on ease of setting up businesses.
