Indian data centres boost capacity by 71 MW in 2024 H1

02 Aug 2024 CW Team

The demand for data centre capacity was primarily driven by hyperscalers, along with sectors such as Banking, Financial Services, and Insurance (BFSI), IT & ITeS, and service sectors, which heavily utilise colocation and related services, according to Savills India.

As of the first half of 2024, the operational IT capacity stands at 942 MW, showcasing a compounded annual growth rate (CAGR) of 22% since 2014, when it was merely 158 MW. Mumbai emerged as the leader, accounting for 54.9% of the total capacity, followed by Chennai, Bengaluru, and Pune with 12.3%, 8.2%, and 7.2% respectively.

"We project a strong demand for data centre capacity in India by the end of 2024, with an estimated requirement of 400 MW across major cities," said Srihari Srinivasan, Director & Lead Data Centre Services, Savills India. He added, "While supply is expected to reach 350 MW during the same period, data centre operators are expanding their service offerings beyond colocation to include networking, cloud solutions, and specialized hardware like GPUs."

This anticipated growth is driven by surging internet usage, the advent of 5G, and the increasing adoption of AI and IoT across various industries. The need for ultra-low latency for mobiles and GPU-powered solutions is also contributing to a burgeoning demand for edge data centres in specific areas.

The data centre industry's shift towards colocation services is attributed to factors such as high capital expenditure, operational costs, and the complexities of predicting future demand and scalability. Additionally, the high cost of security systems and high-performance GPUs, along with rising real estate costs, are making enterprise colocation increasingly attractive for businesses, thus benefiting operators in the sector.

(Source:ET)

The Indian data centre sector experienced a substantial increase in IT capacity, adding approximately 71 MW across key micromarkets in the first half of 2024, according to Savills India. This addition brings the total capacity to 942 MW, marking a 21% growth from 778 MW recorded in the same period last year. Market transactions also reflected robust activity, with about 200 MW in IT capacity reported. The demand for data centre capacity was primarily driven by hyperscalers, along with sectors such as Banking, Financial Services, and Insurance (BFSI), IT & ITeS, and service sectors, which heavily utilise colocation and related services, according to Savills India. As of the first half of 2024, the operational IT capacity stands at 942 MW, showcasing a compounded annual growth rate (CAGR) of 22% since 2014, when it was merely 158 MW. Mumbai emerged as the leader, accounting for 54.9% of the total capacity, followed by Chennai, Bengaluru, and Pune with 12.3%, 8.2%, and 7.2% respectively. We project a strong demand for data centre capacity in India by the end of 2024, with an estimated requirement of 400 MW across major cities, said Srihari Srinivasan, Director & Lead Data Centre Services, Savills India. He added, While supply is expected to reach 350 MW during the same period, data centre operators are expanding their service offerings beyond colocation to include networking, cloud solutions, and specialized hardware like GPUs. This anticipated growth is driven by surging internet usage, the advent of 5G, and the increasing adoption of AI and IoT across various industries. The need for ultra-low latency for mobiles and GPU-powered solutions is also contributing to a burgeoning demand for edge data centres in specific areas. The data centre industry's shift towards colocation services is attributed to factors such as high capital expenditure, operational costs, and the complexities of predicting future demand and scalability. Additionally, the high cost of security systems and high-performance GPUs, along with rising real estate costs, are making enterprise colocation increasingly attractive for businesses, thus benefiting operators in the sector. (Source:ET)

Infrastructure Urban

07 Oct 2025

India To Invest $37 Billion To Boost Petrochemical Capacity

India is set to become a major global player in the petrochemicals industry, driven by a planned capital expenditure of $37 billion (Rs 3.1 trillion) aimed at reducing import dependency and enhancing self-sufficiency, according to S&P Global Ratings.In its latest report titled “First China, Now India: Self-Sufficiency Goals Will Add To Petrochemicals Supply”, S&P said India’s large-scale capacity expansion—mirroring China’s earlier push—will likely intensify oversupply pressures in Asia’s petrochemical markets.Currently the world’s third-largest petrochemical consumer a..

Infrastructure Transport

07 Oct 2025

Indian Railways Expands Global Exports Of Rail Equipment

Indian Railways has announced that it is rapidly emerging as a global exporter of railway equipment, including bogies, coaches, locomotives, and propulsion systems, under the government’s ‘Make in India, Make for the World’ initiative.According to an official statement, India’s railway products are now reaching over 16 international markets, reflecting the country’s growing capacity to design, develop, and deliver world-class rail solutions.Metro coaches have been exported to Australia and Canada; bogies to the United Kingdom, Saudi Arabia, France, and Australia; propulsion systems t..

Infrastructure Transport

07 Oct 2025

RailTel Awards Rs 163 Million Contract To RTNS Technology

RailTel Corporation of India Limited (RailTel), a Mini Ratna Public Sector Undertaking, has awarded a domestic work order worth Rs 163 million to RTNS Technology Private Limited.The contract, issued on 30 September 2025, involves the supply and installation of equipment and related services for one of RailTel’s key customers. The project underscores RailTel’s commitment to advancing technology and communication infrastructure through collaboration with domestic system integrators.RTNS Technology Private Limited, an ISO-certified system integrator, provides comprehensive solutions for perim..