Hyperscalers like Microsoft and Amazon Web Services investing in the country
The India data center market is one of the most dynamic markets in the world and is among the developing data center market in the APAC region, growing at a CAGR of 10.69% and is expected to reach a value of US$9.96 billion by 2028 from US$5.42 billion in 2022.
“The market is in the top hot form, witnessing several new data center investments from local and global operators,” said the report “India Data Center Market – Investment Analysis & Growth Opportunities 2023-2028”.
Apart from the colocation operators, the country is also witnessing new investments from hyperscalers like Microsoft and Amazon Web Services. The companies are developing their self-built facilities across the country.
Due to the growth in demand, India will be the most preferred market for data center providers. Implementing data localization laws will be a strong catalyst for growth in the coming years. The rise in the demand for entertainment, mobile gaming, and online content will be a strong force for data center development in the country, said the report.
Maharashtra, Tamil Nadu, Telangana, Uttar Pradesh, and other States witness growth in AI, IoT, virtual reality, online payment systems, and smart solutions, attracting investments in the country. Some key colocation investors in the India data center market include Equinix, NTT Global Data Centers, Sify Technologies, Nxtra by Airtel, ST Telemedia Global Data Centres, Yotta Infrastructure, CtrlS, and others.
Microsoft and AWS are involved in self-built data centers in India, which might impact colocation take-up over the long term. It is most likely that Microsoft and AWS would require hundreds of megawatts of capacity to cope with the digitalization growth in the Indian market. Fiinews.com
