India Data Centre Capacity Forecasted to Reach 3.6 GW by 2030

India's data centre capacity is projected to expand significantly, potentially reaching between 3 GW and 3.6 GW by 2030. According to recent analysis by Axis Capital, this growth is largely fueled by the aggressive expansion strategies of global hyperscalers seeking to capture the rising demand for cloud infrastructure in the country. While some industry projections have suggested targets as high as 6 GW to 8 GW, experts deem these figures overly ambitious given current infrastructure constraints.

Realizing this capacity growth requires overcoming substantial hurdles, including power availability, efficient equipment supply chains, and adherence to complex construction timelines. The report indicates that while 3.4 GW to 3.6 GW of capacity is currently in the planning phase, actual operational capacity is more realistically estimated at 2.8 GW by mid-2030. These constraints highlight the ongoing need for improved policy support and infrastructure investment to ensure that India remains a competitive global hub for digital services and data storage.

The expansion of data centre infrastructure serves as the backbone for India's growing digital economy and the nationwide adoption of Artificial Intelligence. Continued reliance on high-capacity data centres will necessitate advancements in green energy integration to balance environmental sustainability with intense power requirements. As firms scale their regional presence, investors and policymakers remain focused on streamlining land acquisition and power grid access to meet the anticipated surge in data traffic across the next five years.