South India’s Data Centre Market Set For Explosive Growth By 2030

A recent report by Colliers India has projected a substantial 65% growth in the data centre market across south India by 2030, driven primarily by Chennai, Bengaluru, and Hyderabad.

Supported by robust government incentives, strategic infrastructure investments, and an escalating demand for digital services, these cities have become pivotal in the regional data centre landscape.

Currently, their combined installed capacity nears 200 MW.

The report highlights ongoing expansions, with 190 MW currently under construction and an additional 170 MW in the planning stages, poised to elevate the region’s total capacity by 80% in the coming years.

“This expansion underscores South India’s strategic role in global digital infrastructure,” noted Swapnil Anil, Executive Director & Head of Advisory Services at Colliers India, emphasizing the region’s trajectory towards becoming a prominent global data centre hub.

Chennai leads with an installed capacity of 87 MW, bolstered by 156 MW under construction and 104 MW in planning stages.

Bengaluru, leveraging its robust IT ecosystem, currently supports 79 MW, with 10 MW under construction and 26 MW planned.

Meanwhile, Hyderabad, rapidly emerging as a hotspot, boasts 47 MW installed, with 20 MW under construction and 38 MW planned.

The competitive monthly recurring charges for data centres in South India, ranging from Rs 6,650 to Rs 8,500 per kW per month based on usage, further enhance the region’s attractiveness, offering substantial value for businesses investing in digital infrastructure.

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