India’s Installed Data Centre Capacity to Grow Over 4x from 1.5 GW in 2025 to 6.5 GW by 2030: Rubix Data Sciences

Installed capacity has nearly quadrupled since 2020; sector investment pipeline now six times larger than
2020–24 levels, driven by AI and hyperscale cloud demand
Mumbai: India’s data centre industry is moving through its steepest expansion
phase, according to a new report from Rubix Data Sciences, “Rubix Industry Insights: India’s Data
Centre Sector.” The report finds installed capacity growing from 1.5 GW in 2025 to a projected
6.5 GW by 2030, more than four times current levels, with additions in the past year alone
outpacing the previous three combined.
India added 387 MW of IT capacity in 2025, more than double the 191 MW added in 2024, a
103% year-on-year increase.
As of January 2026, India had 271 data centres, with Mumbai, Hyderabad, Delhi NCR, Bengaluru,
and Chennai together accounting for nearly 65% of the total. In June 2025, India ranked seventh
globally in terms of the number of facilities. The report identifies cloud adoption, AI-readiness,
and digital drivers such as 5G, e-commerce, UPI, and OTT as core demand drivers, alongside
India’s cost advantage, with construction costs estimated to be 30%–40% lower than in China
and the US.
The report estimates the sector’s current investment pipeline, spanning projects under
development and formally announced, at around USD 90 billion, roughly six times the USD 13–
15 billion invested between 2020 and 2024. Amazon Web Services (USD 35 billion), Microsoft
(USD 17.5 billion), and Google (USD 15 billion), together account for approximately USD 67.5
billion in commitments to India. The Government of India has separately projected that AI-driven
digital infrastructure, including data centres, could catalyse up to USD 200 billion in investments
in the years ahead.
The report also flags the operational challenges accompanying this growth. India’s data centres
are estimated to consume around 150 billion litres of water annually, projected to rise to nearly
359 billion litres by 2030, with more than half of the facilities located in water-stressed regions.
Electricity demand from data centres is expected to rise from around 1 GW currently to 13.56
GW by 2031–32, as per the Ministry of Power, even as the sector works to decarbonise operations
in support of India’s 2070 net-zero target.
Commenting on the findings, Tushar Bhaskar, President,, Rubix Data Sciences, said: “India’s data
centre industry has moved past its early growth phase and is now in the middle of a large-scale,
AI-driven investment cycle, with the current pipeline significantly outpacing historical investments.
As demand from hyperscalers, AI workloads, and digital enterprises accelerates, the next test for
the industry will be execution. Long-term leadership in this sector will depend on how effectively
stakeholders address structural constraints around power, water, and sustainability, while building
resilient, energy-efficient, and AI-ready infrastructure. The coming phase development will be
defined as much by the ability to deliver integrated, future-ready digital infrastructure ecosystems
as by investment size.”
Despite generating nearly 20% of the world’s data, India currently accounts for only around 3%–
4% of global data centre capacity, the report notes, leaving substantial headroom for growth.
With continued hyperscale investment, supportive government policy and an expanding
renewable energy base, the report concludes that India is well positioned to emerge as one of
the world’s leading hubs for hyperscale and colocation data centre development