The success of data centres lies in their management |
By Sanjay Motwani
As India surges toward its digital destiny, it’s easy to focus on flashy milestones, labs, startup investments, and digital payments; often overlooked is the engine that powers it all: data centre management. Far from being a mere back-office function, it now stands as a strategic imperative shaping resilience, efficiency, and sustainability in India’s digital infrastructure.
India’s data centre capacity has nearly doubled from around 950 MW in 2023 to an expected 1,800 MW by 2026, a remarkable leap driven by government mandates on data localisation and surging digital demand. The nationwide picture is equally bullish, with investments totalling $15 billion since 2020, and projections pointing toward a further $20-25 billion by 2030. Major players in the industry are scaling rapidly, eyeing India as a regional data powerhouse.
The Budget‘s proposal to offer a tax exemption of upto 20 years is part of a broader effort to make India a global hub for digital services and cloud infrastructure. With effective execution, the policy could accelerate the growth of cloud services, AI and digital infrastructure in the coming years. It also offers reassurance to international companies by recognising large centres with permanent establishment status, while seeking to clarify tax obligations and reduce entry-related risks.
Yet, this growth is taking place........