India’s data centre industry is rapidly expanding as rising digital consumption, AI adoption, cloud computing and data localisation regulations drive unprecedented demand for storage and computing infrastructure. While Mumbai continues to dominate the market, other cities such as Chennai, Hyderabad, Bengaluru, Delhi NCR and Kolkata are emerging as critical hubs in the country’s digital infrastructure network.
According to industry estimates, more than 65 per cent of India’s operational data centres are concentrated across six major regions, reflecting the growing strategic importance of these cities.
Mumbai: India’s Largest Data Centre Hub
Mumbai remains the country’s undisputed data centre capital with an installed IT capacity of around 640 MW and nearly 46 operational data centres. The city accounts for a significant share of India’s digital infrastructure due to its strong submarine cable connectivity, financial sector presence, and mature ecosystem. Maharashtra has also emerged as one of the biggest beneficiaries of data centre investments, attracting nearly 15 per cent of committed investments between 2019 and 2025.
Chennai: Emerging Gateway for Global Connectivity
Chennai has rapidly evolved into a preferred destination for hyperscalers and cloud operators. The city currently hosts more than 33 operational facilities with an installed capacity of nearly 289 MW. Tamil Nadu’s strong renewable energy ecosystem, coastal connectivity and supportive industrial policies are helping Chennai become a major international data gateway. The city is projected to witness strong long term growth in capacity expansion.
Hyderabad: Fastest Growing Digital Infrastructure Market
Hyderabad is emerging as one of India’s fastest growing data centre destinations. The city has around 28 operational facilities and approximately 58 MW of installed capacity. Telangana’s proactive technology policies, lower operating costs and thriving IT ecosystem have attracted significant investments from both domestic and global operators. The region is expected to record one of the highest growth rates in the coming years.
Bengaluru: Driven by India’s Technology Ecosystem
Bengaluru continues to strengthen its position as a key data centre market due to its dominance in India’s technology and startup ecosystem. Karnataka currently hosts about 31 operational data centres with nearly 101 MW of capacity. Rising enterprise cloud adoption and AI driven workloads are further accelerating demand across the state.
Delhi NCR: North India’s Digital Nerve Centre
Delhi NCR remains a major digital infrastructure hub with around 38 operational facilities and nearly 115 MW of installed capacity. The region benefits from strong enterprise demand, government presence, and a rapidly expanding internet user base across North India.
Kolkata: Eastern India’s Emerging Opportunity
Kolkata is gradually emerging as an important gateway for Eastern and Northeastern India. The city currently has more than nine operational data centres and around 16 MW of installed capacity. While still smaller than other metro markets, rising digital adoption and connectivity improvements are expected to support future expansion in West Bengal.
Together, these cities are shaping India’s next phase of digital infrastructure growth as the country moves toward becoming a global data centre powerhouse.
