Last year, India added 440 megawatts to reach a total capacity of 1,700 megawatts.
India’s Data Center Sector to See USD 54 Billion Investment and 30% Capacity Growth
Investors are showing increasing interest in India’s data center industry, with over USD 54 billion expected to flow into the sector this year. Major cities are preparing for significant growth, with new supply of around 500 megawatts anticipated and total capacity projected to expand by 30 percent in 2026.
Last year, India added 440 megawatts to reach a total capacity of 1,700 megawatts. Investment commitments hit USD 56.4 billion in 2025, raising cumulative funding in the sector to USD 126 billion. Analysts forecast that commitments could rise by about 45 percent this year, possibly surpassing USD 180 billion.
According to Anshuman Magazine, chairman and CEO of CBRE for India, Southeast Asia, West Asia, and Africa, foreign capital is a major driver of this expansion. Regulatory measures that increase transparency and improve access to debt have further strengthened investor confidence.
CBRE’s latest report, ‘India Alternate Sectors Outlook 2026,’ highlights that the market is shifting from focusing purely on capacity to scaling operations efficiently.
