India Data Center Market by Infrastructure(Hardware, Software, Services), by Type(Enterprise Data Centers, and others), by Data Center Rating(Tier I, and others), by Size(Small Data Centers, and others), by Server Rack Density(<10kW, and others), by Data Center Redundancy(N+1, and others), by PUE Outlook(Less than 1.2, and others), by Design Outlook(Traditional, and others), by End User(Cloud Service Provider and others)- Opportunity Analysis and Industry Forecast, 2024–2030
Industry: ICT & Media | Publish Date: 02-Jun-2025 | No of Pages: 173 | No. of Tables: 134 | No. of Figures: 79 | Format: PDF | Report Code : IC2439
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India Data Center Market Overview
The India Data Center Market size was valued at USD 3.30 billion in 2023, and is predicted to reach USD 7.40 billion by 2030, at a CAGR of 12.2% from 2024 to 2030.
The data center market, also referred to as the network infrastructure market, encompasses the comprehensive lifecycle of specialized infrastructure dedicated to hosting computing systems. This lifecycle spans from initial planning and construction to ongoing operation and maintenance. It comprises a diverse array of components, including servers, storage systems, and networking gear, collectively offer services such as cloud computing and connectivity solutions. Presently, the industry is witnessing widespread adoption of cloud services, accompanied by the emergence of edge computing aimed at reducing latency.
Key trends shaping the market include a heightened focus on sustainability, increased concerns regarding cybersecurity, the integration of hybrid and multi-cloud approaches, and the growing influence of 5G networks. These trends underscore the industry's proactive response to meet the escalating demand for scalable, efficient, and secure data processing and storage solutions amidst the ongoing digital transformation. According to projections by the United States International Trade Commission, the data processing and storage market is anticipated to expand from USD 56 billion in 2020 to USD 90 billion by 2025.
Growing Information and Communication Technology (ICT) Sector Boosts the Market Growth
India's bold objective of achieving a USD 1 trillion Information and Communication Technology (ICT) sector by 2025 underscores a significant opportunity for the industry. The sector's projected surge to USD 245 billion in 2023, growing at an impressive annual rate of 8.4%, highlights the nation's burgeoning demand for data infrastructure and related services.
As the 4th largest data center industry in the Asia-Pacific region, India boasts a substantial presence with 152 operational centers, as reported by CloudScene data. This rapid growth trajectory positions India's market sector as a vital catalyst propelling the overall growth and advancement of the country's digital infrastructure landscape. It not only underscores the increasing importance of the market in India's digital transformation journey but also presents lucrative opportunities for stakeholders across the industry to capitalize on the burgeoning market demand.
Expansion of Significant Companies to Meet Surging Data Storage Demand Propels the Market Growth
The expansion endeavors of major companies in India to meet the soaring demand for data storage, fueled by robust digitization efforts, play a pivotal role in driving market expansion. Notably, OVHcloud and Digital Realty recently inaugurated their maiden center for in India, located in Mumbai and Chennai, respectively.
These strategic expansions are aimed at catering to India's evolving digital landscape and growing digital needs. The Mumbai data center is poised to offer open, trusted, sovereign, and sustainable cloud solutions to Indian businesses, while its Chennai counterpart will bolster India's digital evolution with high-density infrastructure.
Aligned with India's increasing demand for digital capacity, 5G, AI, and other emerging technologies, these expansions reflect a concerted effort to address the country's burgeoning digital requirements and facilitate its digital transformation journey.
High Initial Investment Challenges India data center Market Growth
The data center market faces formidable challenges, primarily attributed to the substantial initial investment required and stringent environmental regulations. Establishing and maintaining network infrastructure demands significant upfront financial commitments, creating obstacles for smaller enterprises and startups seeking entry into the market. Additionally, ongoing compliance with environmental standards mandates continuous investment in energy-efficient technologies hinders the overall market growth.
Incorporation of Edge Computing Presents Lucrative Market Opportunities
The integration of edge computing into India data center market trends presents promising prospects for the industry's expansion. By minimizing latency and facilitating real-time processing, edge computing empowers applications such as the Internet of Things (IoT) and Augmented Reality (AR), alleviating the burden on centralized cloud data centers while providing scalability and flexibility.
This decentralized approach not only enhances security by processing sensitive data locally but also aligns with evolving digital landscapes, paving the way for diverse opportunities for network infrastructure providers. Recent investments in startups such as Armada signify the escalating interest in edge computing solutions, signaling a concerted effort to address connectivity challenges and bridge the digital divide.
Competitive Landscape
The key players operating in the India data center industry include Equinix, Inc. , Digital Realty Trust Inc., Zenlayer, Amazon Web Services (AWS), MOD Mission Critical (MOD), IBM Corporation, EdgeConnex, Hivelocity, Microsoft Corporation, Oracle Corporation, SAP SE, Broadcom Inc., Cloudscene , L&T Cloudfiniti, Value Point Systems Pvt. Ltd. and others.
India Data Center Market Key Segments
By Infrastructure
-
Hardware
-
IT Hardware
-
Servers
-
Storage Systems
-
Networking Equipment
-
-
Power Infrastructure Hardware
-
Uninterruptible Power Supplies (UPS)
-
Generators
-
Automatic Transfer Switches
-
Power Distribution Units (PDUs)
-
-
Mechanical Infrastructure Hardware
-
Computer-Room Air Conditioners (CRAC/CRA Units)
-
Chillers
-
Racks
-
Cable Management Systems
-
-
Safety & Security Hardware
-
Fire Suppression Systems
-
Physical Security Systems (CCTV, access controls)
-
-
-
Software
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DCIM & Monitoring
-
Automation & Orchestration
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Backup & Disaster Recovery
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Security Software
-
Virtualization Software
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Analytics & Reporting Software
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Other Software
-
-
Services
-
Planning & Professional Services
-
Site & Building Design
-
System/Infrastructure Engineering
-
Professional Advisory (compliance, energy audits)
-
-
Integration & Deployment Services
-
Electrical & Mechanical Installation
-
Commissioning & Acceptance Testing
-
-
Operation & Support Services
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Preventive & Corrective Maintenance
-
Facilities Management / Remote Monitoring
-
Support Services (helpdesk, onsite SLA support)
-
-
Hosting & Managed Services
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Colocation & Cloud Hosting Services
-
Virtual/Private Hosting Platforms
-
-
By Type
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Enterprise Data Centers
-
Colocation Data Centers
-
Cloud Data Centers
-
Hyperscale Data Centers
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Edge Data Centers
-
Micro Data Centers
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Others
By Data Center Rating
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Tier I
-
Tier II
-
Tier III
-
Tier IV
By Size
-
Small Data Centers
-
Med-sized Data Centers
-
Large Data Centers
By Server Rack Density
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<10kW
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10-19kW
-
20-29kW
-
30-39kW
-
40-49kW
-
>50kW
By Data Center Redundancy
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N+1
-
2N
-
N+2
-
N
By PUE Outlook
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Less than 1.2
-
1.2 - 1.5
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1.5 - 2.0
-
Greater than 2.0
By Design Outlook
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Traditional
-
Containerized
-
Modular
By End User
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Cloud Service Provider
-
Technology Provider
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Telecom
-
Healthcare
-
BFSI
-
Retail & E-commerce
-
Entertainment & Media
-
Government
-
Energy
-
Others
Key Players
-
Equinix, Inc.
-
Digital Realty Trust Inc.
-
Zenlayer
-
Amazon Web Services (AWS)
-
MOD Mission Critical (MOD)
-
IBM Corporation
-
EdgeConnex
-
Hivelocity
-
Microsoft Corporation
-
Oracle Corporation
-
SAP SE
-
Broadcom Inc.
-
Cloudscene
-
L&T Cloudfiniti
-
Value Point Systems Pvt. Ltd.
REPORT SCOPE AND SEGMENTATION:
|
Parameters |
Details |
|
Market Size in 2023 |
USD 3.30 Billion |
|
Revenue Forecast in 2030 |
USD 7.40 Billion |
|
Growth Rate |
CAGR of 12.2% from 2024 to 2030 |
|
Analysis Period |
2023–2030 |
|
Base Year Considered |
2023 |
|
Forecast Period |
2024–2030 |
|
Market Size Estimation |
Billion (USD) |
|
Growth Factors |
|
|
Companies Profiled |
15 |
|
Market Share |
Available for 10 companies |
|
Customization Scope |
Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope. |
|
Pricing and Purchase Options |
Avail customized purchase options to meet your exact research needs. |
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Research Landscape
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Quantitative research is particularly effective in measuring the prevalence of trends, assessing market size, and gauging the impact of various factors on consumer behavior. The numerical precision attained through this approach equips our clients with actionable insights, facilitating data-driven decision-making and strategy formulation.
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