India becomes second-largest data centre market in Asia Pacific with 1.6 GW operational capacity

India has emerged as the second-largest data centre market in the Asia-Pacific region, with an operational capacity of 1.6 gigawatts (GW), underscoring its growing role in global digital infrastructure, according to a new industry report.

The country is also among the top three markets in the region in terms of development pipeline, with an additional 3.1 GW of capacity under construction and in planning stages, as reported by IANS, a TV BRICS partner.

Industry analysts note that India’s data centre ecosystem is evolving rapidly, supported by strong demand fundamentals and the expansion of hyperscale computing requirements. Experts describe the global data centre industry as entering a more execution-focused phase, where access to reliable power supply, infrastructure readiness, and delivery efficiency are becoming as important as demand growth itself. In this context, India is viewed as well-positioned due to its expanding pipeline and increasing ability to support large-scale deployments across multiple locations, the source claims.

Mumbai remains the leading data centre hub in the country and a primary driver of regional growth. It is expected to surpass 1 GW of operational capacity by the end of 2026, reinforcing its status as one of the fastest-growing digital infrastructure markets in the Asia Pacific.

Secondary cities are also playing an increasingly important role in shaping the sector’s expansion. Hyderabad has emerged as a major growth centre, ranking among the top secondary data centre markets in the Asia Pacific region and placing within the global top 10. Chennai, Delhi-NCR, and Pune are also experiencing rising investment and development activity as demand spreads beyond traditional hubs.

The country’s long-term growth outlook is further supported by a significant development pipeline. More than 10.5 GW of additional capacity remains at the land acquisition stage, indicating strong potential for future expansion as developers secure sites and prepare for continued demand growth.