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Markets: Data centre construction is set for a 14.76% CAGR till 2028

Fiinews by Fiinews
March 8, 2023
in Markets
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Most data centres are in Mumbai, Chennai, Hyderabad, Bangalore and Delhi

The Indian data centre construction market is expected to reach a value of US$3.46 billion by 2028, growing at a CAGR of 14.76% from US$1.52 billion in 2022.

Data centre development has become a major criterion for offering internet services, said the ResearchAndMarkets “India Data Centre Construction Market – Industry Outlook & Forecast 2023-2028” report released on 6 Mar 2023.

Most data centres operate in major metros cities such as Mumbai, Chennai, Hyderabad, Bangalore and Delhi. “And in recent years, have been attracting significant investments for developing hyperscale data centre campuses, and more data centres are planned to be established.”

As the 5G is already launched in India, it will result in more data generation within the servers, increasing the demand for edge centres across the country to process the data faster. The trend driving the edge computing model is the expanded use of consumer mobile devices, especially the growth of sensors as part of IoT, said the report.

Renewable energy adoption is increasing rapidly in India, with support from government initiatives and data centre service operators taking significant measures to purchase and produce renewable energy to power their data centres.

In 2022, CtrlS built a new facility in Hyderabad with a power capacity of 18 MW.

Additionally, the company has aimed to establish 500 edge data centres in Tier 2 and Tier 3 cities across the country with a 500-acre solar plant to power its operation with renewable energy.

With sustainability taking centre stage, renewable energy generation is expected to be a key consideration for operators in the India data centre construction market.

Green Revolution Cooling has partnered with the Indian data centre solutions provider Prasa to bring its cooling system to the country. Prasa has already commenced installing its liquid immersion systems in the region’s market.

Schneider Electric and Vertiv are some of the liquid cooling solutions providers which offer their services in the region.

In the India data centre construction market, the electrical infrastructure adoption is expected to grow by around 14.85% year-over-year (YOY). In terms of power infrastructure, the generators segment was the largest contributor to the market revenue through the adoption of DRUPS systems.

In 2022, AWS, AdaniConneX, Ascendas India Trust, Equinix, EverYondr, Princeton Digital Group (PDG), BAM Digital Realty, Microsoft, Google, NTT, and SpaceDC were some of the key players in the India data center construction market. fiinews.com

Tags: ResearchAndMarkets
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