India’s data centre market projected to reach US$ 22 billion by 2030
- IBEF
- April 15, 2026
The data centre market in India reaches a valuation of Rs. 9.33 lakh crore (US$ 10 billion) in 2025 and is projected to more than double to Rs. 20.53 lakh crore (US$ 22 billion) by 2030, driven by rapid growth in cloud computing, artificial intelligence (AI) and data-intensive technologies. The sector received investments between Rs. 12.13-13.99 lakh crore (US$ 13-15 billion) from 2020 to 2024, according to Vestian, which reported that foreign institutional investors provided almost 80% of the total capital inflow in the market. The strong capital pipeline is further reflected in announced projects worth Rs. 55.99-65.32 lakh crore (US$ 60-70 billion) over the next five years, which are primarily driven by hyperscale platforms and joint ventures.
India’s expanding digital economy, rising internet and telecom subscriber base, and increasing enterprise cloud adoption are positioning the country as a major data infrastructure destination. Average monthly wireless data consumption has crossed 25 GB per user, while installed data centre capacity is projected to reach 1.7-2.0 GW by 2026, backed by nearly Rs. 27.99 lakh crore (US$ 30 billion) in investments, and further scale to 4-5 GW by 2030. Competitive data centre construction costs of Rs. 559.90-653.22 crore (US$ 6-7 million) per MW, significantly lower than mature Asia-Pacific markets, continue to strengthen India’s investment appeal. Mumbai remains the leading hub, while Chennai, Hyderabad, Bengaluru and Pune are emerging as strong secondary markets.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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