India Data Centre Market Outlook

According to the report by Expert Market Research (EMR), the India data centre market growth, is projected to grow at a CAGR of 10.3% between 2023 and 2028. Aided by the mounting demand for digital services and the escalating expansion of data centre applications across diverse sectors, the market is expected to grow significantly by 2028.

Data centres are secure, power-intensive facilities equipped to host computer systems and associated components such as storage systems and telecommunications. They play an integral role in data storage, backup and recovery, data management, and networking. In addition to these core functionalities, data centres also excel in delivering uninterrupted power supply, air-conditioned environment, and high-end security measures, making them indispensable in an array of industrial applications, including IT and telecom, banking, financial services and insurance (BFSI), government and defence, healthcare, retail, and power and energy.

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The rising demand for advanced digital services is the primary driver for the India data centre market growth. With the burgeoning awareness about data management’s strategic importance, there has been a notable surge in the adoption of data centre services across various sectors. Additionally, the wave of digitisation and the growing trend of cloud computing have further accelerated the popularity of data centres.

In addition, the expanding applications of data centres in different industries significantly contribute to the India data centre market expansion. In the BFSI sector, data centres are crucial for managing massive amounts of sensitive data, facilitating online transactions, and supporting digital banking services. In the healthcare industry, data centres play a vital role in storing patient records, supporting telemedicine services, and enabling digital health platforms. Meanwhile, the retail sector leverages data centres for managing e-commerce platforms, customer databases, and digital payment systems.

Moreover, the increasing emphasis on green data centres that reduce environmental impact by minimising energy consumption and decreasing carbon footprint is expected to spur the market growth. With the rise of sustainable development goals and growing popularity of green IT practices, eco-friendly data centres have emerged as a key trend in the market, further boosting the India data centre market development. The Indian government’s implementation of several advantageous policies to promote data centre investments is further anticipated to fuel market expansion.

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India Data Centre Market Segmentation

The market can be divided based on component, IT infrastructure, electrical infrastructure, mechanical infrastructure, general construction, industry, and region.

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

Market Breakup by Region

• North India
• South India
• Central India
• East India
• West India

Competitive Landscape

The EMR report looks into the market shares, plant turnarounds, capacities, investments, and acquisitions and mergers, among other major developments, of the India data centre companies. Some of the major key players explored in the report by Expert Market Research are as follows:

• 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

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