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The Great Indian Data Center Boom

In the last few years and, especially in 2020, India is seeing major growth in the data center industry. From Government initiatives like Digital India to our majority youth population and the COVID-19 pandemic, here are a few reasons why the country is attracting big data center companies.


India has the second-largest online population

India is the second-largest online market in the world, with over 560 million users in December 2019. With the COVID-19 pandemic pushing more businesses and educational institutions online, this number has only increased skyrocketed. By 2023, the number is said to cross 650 million internet users. With the government and Reserve Bank of India insisting on the need for multi-nationals, social media companies, and all payment firms to store data of Indian customers locally, it has further increased the need for data centers in the country.

India has a young majority population

One of the reasons why India has a promising digital future, despite its large rural populations, is the number of its youth. This youth population is responsible for the rising levels of data consumption, something that is also evident in the mass adoption of smartphones, 4G, cloud computing, IoT, and so on, along with the technology, telecom, and start-up culture. All these factors, in turn, make India the perfect consumer base for data centers.

India has a strong data center policy

The Union Government of India announced a policy for data centers, giving India a chance to emerge as the world’s largest data center hub. The policy is aimed at strengthening the private data center sector and promoting the establishment of data center parks throughout the country. We had discussed this in an earlier blog post, that you can read here.

Big data center players are investing in India

Equinix entered India in August 2020 with a $161 million data center acquisition in Mumbai. Adding to its with data centers spread across Hyderabad, Mumbai, Noida, Bengaluru, and Chennai, CtrlS is also building the world’s largest Tier-4 data center in Hyderabad and another one in Mumbai. Moreover, three major data center companies – Yotta Infrastructure (Hiranandani Group), HDCI Data Centre Holdings, and Singapore-based ST Tele Media – have also signed MoUs with the Government of Tamil Nadu in a bid to invest in Chennai.

With Mumbai leading the way and Chennai following closely behind, India is all to become the next data center hub in the world. And with quality server racks, network cabinets, PDUs, other data center essentials, and expert consultation services, Hardy Racks is ready to serve!

To know more about our products and services, visit www.hardyracks.com or get in touch with us.

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