India Emerges as Asia-Pacific’s Second Largest Data Centre Hub: Report

New Delhi- India has become the second-largest data centre market in the Asia-Pacific region, with 1.6 GW of operational capacity, according to a new report released by Cushman & Wakefield. The country is also among the top three markets in terms of future expansion, with 3.1 GW of capacity currently under construction or in the planning stage.

The report highlights India’s rapid rise as a major digital infrastructure destination, driven by growing adoption of artificial intelligence (AI), expansion of hyperscale cloud services, and increasing enterprise demand for digital storage and computing power.

India’s data centre network now spans multiple major cities, including Mumbai, Hyderabad, Chennai, Delhi, Pune, and Bengaluru, all of which were included among the 107 global markets studied in the report.

According to Gautam Saraf, Executive Managing Director, Mumbai and New Business at Cushman & Wakefield, the global data centre industry is entering a phase where execution capabilities, infrastructure readiness, and reliable power supply are becoming just as important as demand growth.

He noted that India is well positioned to benefit from this shift due to its strong demand outlook, rapidly expanding project pipeline, and growing ecosystem of both primary and emerging data centre markets.

Among Indian cities, Mumbai continues to lead as the country’s primary data centre hub and is expected to cross 1 GW of operational capacity by the end of 2026. The city has been identified as one of the fastest-growing data centre markets in the Asia-Pacific region.

At the same time, emerging hubs such as Hyderabad, Chennai, Delhi, and Pune are witnessing increasing investment and development activity.

The report especially highlights Hyderabad as the top secondary data centre market in Asia-Pacific and the ninth-ranked globally, underlining its growing importance in the global digital infrastructure landscape.

Meanwhile, Bengaluru has been classified as a tertiary market with rising long-term potential.

India’s future growth prospects remain strong, with more than 10.5 GW of additional capacity currently at the land acquisition stage, reflecting sustained confidence among developers and operators preparing for future demand.

With inputs from IANS