India will have more than 1 GW of data center capacity by 2024, with Noida emerging as a significant hub: Report

 India will have more than 1 GW of data center capacity by 2024, with Noida emerging as a significant hub: Report

According to the Cushman & Wakefield analysis, the introduction of 5G services, the expansion of captive facilities by international hyperscalers, and the arrival of new operators in India will guarantee development momentum.

The Cushman & Wakefield analysis predicts that, even if the nation's total capacity is one gigawatt, Mumbai will continue to be the hub for data centers in India while Noida will become a significant regional hub in terms of installed colocation capacity (IT load) in 2024. data bases.

With more than 50% of the Indian local data center market, Mumbai is the biggest. The paper states that a number of greenfield facilities in the Delhi NCR region's Noida are anticipated to open in 2024, potentially surpassing Bengaluru and approaching Chennai, which is now the nation's second-largest in terms of installed IT load capacity.

Mumbai was placed third in the Asia-Pacific area in Cushman & Wakefield's 2023 Global Data Center Market Comparison Report earlier this year.

The overall IT load capacity in the top seven cities is anticipated to increase from 656 MW at the end of 2022 to 884 MW in 2023, a 35 percent year-over-year (YOY) rise, according to the Data Center Outlook study. By the end of 2023, an additional 230 MW of co-location capacity is probably going to be installed, according to the research.

According to the paper, the growth trajectory is expected to continue, with installed IT load in India expected to surpass 1 GW in 2024—a 2.5-fold increase from 2020.

The capital will continue to be Mumbai Data Center.

"Mumbai and Chennai will continue to lead new capacity additions...Noida will emerge as a major regional hub," the research said. "In 2024, colocation capacity addition is estimated to be 265 MW more than 2023, taking the overall installed capacity (IT load) in the country to 1.15 GW by the end of 2024."

Mumbai presently bears the lion's share of the nation's IT load, with 52 percent. Chennai comes in second at 16 percent, Delhi NCR at 11 percent, Bengaluru at 9 percent, Pune at 7 percent, and Hyderabad at 4 percent. Is. percent) and 1 percent in Kolkata. In terms of the overall IT load in 2024, Delhi NCR is expected to account for 14% of the share, while Kolkata will likely account for around 3%.

The data center industry in India is expanding and maturing at the same time, according to Vivek Dahiya, Managing Director, Head of Data Center Advisory Team, Asia Pacific, Cushman & Wakefield. Mumbai continues to be the country's data center hub, followed by Hyderabad and Noida. becoming fresh hotspots. Future co-location and cloud services.

Growth of Cities in Tier-II

"As established companies seek to increase their presence in India, we anticipate that edge data centers will make their way into tier-II cities." The countrywide introduction of 5G services, the expansion of captive facilities by international hyperscalers, and the continuous influx of new operators into India will guarantee that the country's development momentum continues. The industry will benefit from favorable regulations, the rollout of 5G, a sustained emphasis on energy efficiency and green data centers, and other factors, according to Dahiya.

Global hyperscalers are growing their in-house cloud infrastructure. In 2022, Amazon launched their greenfield captive cloud facility, therefore inaugurating its new cloud region. According to the source, MS Azure has moved forward with land banking in Hyderabad and Pune and has made significant growth intentions public.

The first data center in Mumbai will be built by Digital Edge and Lumina Cloud Infra, which is supported by Blackstone, starting in 2023. According to the research, Lumina CloudInfra, Digital Edge, and Kotak Data Center Fund spent over $470 million in data centers this year.