Indian Economy News

Data centre capacity to double by FY25 with Rs 40,000 cr investment: Report

On the strength of increased data uptake, digitisation, localisation, and the launch of 5G services by the end of this year, data centre capacity is likely to quadruple by FY25 to 1,700-1,800 MW from 870 MW today, with an investment of Rs. 40,000 crore (US$ 5.14 billion), according to a Crisil report.

In 2021, wireless mobile data traffic increased by 31% to 253 exabytes (1 exabyte = 1 billion gigabytes), as work-from-home became the new normal following the COVID-19 epidemic, resulting in a surge in demand for data centres.

Data centres are quickly becoming a popular infrastructure asset class in the country. Between FY23-25, the industry is expected to add 850-900 MW of capacity. Mumbai is anticipated to lead the way, accounting for roughly half of the existing capacity and adding another 300 MW. Proximity to subsea cables, optic fibre connectivity, uninterruptible power supply, and the availability of competent labour will all contribute to this expansion. Hyderabad, Chennai, and Pune will be the next development centres, each adding 400 MW of capacity.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.

Partners
Loading...