India’s data centre market has achieved substantial growth, marking a value of approximately USD 5.90 billion in 2023, with estimations projecting robust expansion in the coming years. Forecasts suggest a significant surge at a CAGR of 11.1% between 2024 and 2032, positioning the market to reach nearly USD 15.07 billion by 2032.
India Data Centre Market Overview
India Data Centre Market Size and Share
The current valuation of USD 5.90 billion underscores India’s position as a key player in the global data centre landscape. With a vast population and burgeoning digital economy, India presents immense potential for data centre infrastructure development, attracting significant investments from both domestic and international players.
Factors Driving Growth
The surging demand for data storage and processing capabilities forms the crux of the growth trajectory of India’s data centre market. Factors contributing to this growth include:
- Digital Transformation Initiatives: India’s digital transformation drive, bolstered by government initiatives and private sector investments, has created a surge in data creation and storage needs across industries like e-commerce, banking, healthcare, and more.
- Cloud Computing Adoption: The escalating adoption of cloud-based services by businesses and consumers alike has necessitated scalable and efficient data centres to manage the influx of data and applications.
- Rise in Data-Driven Technologies: The proliferation of data-driven technologies such as AI, machine learning, and IoT has significantly increased data processing requirements, fostering the need for advanced data centres with enhanced capabilities.
- Shift Towards Edge Computing: The shift towards edge computing, driven by the need for low-latency and high-speed data processing, has led to the development of decentralized data centres across various geographical locations in India.
Trends Driving Growth
Industry Segmentation
The Indian data centre market is segmented across various parameters including type (enterprise, colocation, cloud), component (hardware, software, services), and end-user verticals (IT & Telecom, BFSI, healthcare, government, etc.). Each segment showcases unique opportunities and challenges contributing to the overall market growth.
Market Breakup by Component
-
Services
-
Solution
Market Breakup by IT Infrastructure
-
Network
-
Server
-
Storage
Market Breakup by Electrical Infrastructure
-
UPS Systems
-
Generators
-
Transfer Switches and Switchgears
-
PDUs
-
Others
Market Breakup by Mechanical Infrastructure
-
Cooling Systems
-
Rack Cabinets
-
Others
Market Breakup by General Construction
-
Building Development
-
Installation and Commissioning Services
-
Building Design
-
Physical Security
-
Data Centre Infrastructure Management
-
Others
Market Breakup by Industry
-
Banking, Financial Services, and Insurance
-
Healthcare
-
Government and Defence
-
Manufacturing
-
IT and Telecom
-
Retail
-
Energy
-
Others
-
North India
-
South India
-
Central India
-
East India
-
West India
Forecast Period 2024-2032
Competitive Landscape
The market is highly competitive, characterized by the presence of both established players and emerging startups. Companies are focusing on strategic collaborations, technological advancements, and geographical expansions to gain a competitive edge. Key players include-
-
CTRLS Datacenters Ltd.
-
Arshiya Limited.
-
NTT Global Data Centers & Cloud Infrastructure India Private Limited
-
Sify Technologies Limited.
-
Cisco Systems India Pvt. Ltd
-
Microsoft Corporation
-
Reliance Communications Ltd. (Reliance Datacenter)
-
Others
