India's data centre market size to double to $22 billion by 2030: Vestian

India’s data centre market is projected to more than double to $22 billion by 2030 from about $10 billion in 2025, driven by rising Cloud adoption, artificial intelligence (AI) workloads, and rapid growth in digital consumption, according to a report by Vestian.

Investment momentum in the sector also remains strong. Between 2020 and 2024, India’s data centre industry attracted about $13–15 billion in investments, with foreign institutional investors accounting for nearly 80 per cent of total inflows.

Announced investments of $60–70 billion over the next five years underscore the continued interest from hyperscale operators and joint-venture platforms.

Globally, the data centre industry is experiencing rapid expansion, with installed capacity currently estimated at 40–50 gigawatts (Gw) and expected to exceed 100 Gw by the end of the decade.

Against this backdrop, India is emerging as a strategic destination in the Asia-Pacific data infrastructure landscape, supported by policy incentives, hyperscaler investments, and a fast-growing digital economy.

India’s operational data centre capacity currently stands at about 1. 4–1. 6 Gw across 164 facilities, with more than 700 megawatts (Mw) under construction and another 1–1. 2 Gw in the planning stage, the report said.

Installed capacity is expected to rise to 1. 7–2 Gw by the end of 2026 and further expand to 4–5 Gw by 2030, reflecting sustained infrastructure build-out across key markets.

The expansion is being driven by a surge in internet subscribers, increasing enterprise cloud adoption, and the rapid scaling of AI and high-performance computing workloads.