India's Data Centre Capacity To increase To 2,000 MW by 2026 By CIOTechOutlook Team

India's Data Centre Capacity To increase To 2,000 MW by 2026

CIOTechOutlook Team | Thursday, 09 May 2024, 05:59 IST

India's data center limit is set to increase, reaching 2,000 MW by 2026, as the nation shifts towards a created market economy amid an ascent in 'green energy' arrangements, according to sources. The data center industry is supposed to clock an income development of 32% during FY24-FY26. While India creates around 20% of worldwide data, it has a portion of only 3% as far as data center limit.

The development plans have created significant venture possibilities, with a logical capex of ₹50,000 crore here over the following three years till 2026, as indicated by the report via CareEdge Evaluations.

In any case, the wave of digitization, driven by the development of web-based businesses, fintech platforms, internet real-time, and gaming administrations, is expected to increase the number of internet users and promote internet penetration, producing a vigorous interest in data centers.

"The capacity addition of 1.1 GW in data centre space needs to be corroborated with increased absorption in future/medium term, as cashflow stability is an important consideration for the debt-funded investments," said Puja Jalan, Associate Director, CareEdge Ratings.

"Per MW cost in India for setting up data centres has witnessed escalation due to incremental land, equipment and other soft costs with new capacities now being set up at a cost of Rs 60-70 crore/MW," the report mentioned.