India’s data centre industry is growing fast and is expected to reach 1.8 GW of total capacity by 2027 — a 77 per cent increase, says JLL. These centres are the backbone of digital services, helping store, process, and manage huge amounts of data. As more people use cloud services, online banking, video streaming, and e-commerce, the need for data centres is rising quickly. To meet this demand, India will need around 9.3 million sq ft of new space to add 795 MW of capacity, according to JLL Research. One big reason for this growth is India’s rising data usage. Nokia’s latest Mobile Broadband Index (MbiT) report says the average data used per person per month was 27.5 GB in 2024, and it could grow to 50 GB by 2030. This means India will need stronger and more scalable digital infrastructure. Major Indian cities are emerging as key hubs for this growth. Mumbai leads with 536 MW of colocation capacity, while Chennai is catching up with 113 MW and eight cable landing stations, making it attractive to tech firms and banks. Delhi-NCR is also quickly establishing itself as a strong player, with 112 MW spread across 15 sites and rising demand from cloud service providers, supported by government initiatives like the IndiaAI mission, according to JLL. Policy support is playing a pivotal role in the growth of India’s data centre industry. The government’s move to grant infrastructure status to data centres, along with state-level policies is making it easier for developers and operators to invest and expand. The Rs 103 billion IndiaAI Mission approved in 2024 is another step forward, aiming to boost AI computing infrastructure including GPU clusters and high-performance systems that are increasingly essential for modern data centres. Sharing his views on the rising demand for data centres and India’s growing role in this space, Amit Sarin, Managing Director, Anant Raj, said, “The global demand for data centres is witnessing an unprecedented surge, driven by rapid advancements in technology, the proliferation of social media, accelerated digital adoption, cloud computing, and the rise of AI. In this evolving landscape, India has emerged as a key growth hub for data centre development, catering to both domestic and international requirements.” “At Anant Raj, we are proud to contribute to this growth through our dedicated data center arm, Anant Raj Cloud. We have committed over ?10,000 crore to develop 307 MW of data center capacity, along with a range of cloud services, across key locations in Haryana,” he added. Sustainability is also becoming a key focus as the sector grows. Many data centre players are adopting green building practices, energy-efficient technologies, and renewable energy integration to reduce their environmental impact. Looking ahead, the industry’s next wave of expansion is likely to be shaped by rising demand for edge computing, increasing cloud adoption by enterprises, and the push for AI-integrated solutions. With improving infrastructure, policy support, and a focus on sustainability, India is well-positioned to emerge as a global data centre destination in the coming years.