India's Data Centre development Pipeline through 2030 Reaches 3,860 MW as Capacity Expansion Accelerates Across Major Markets: Cushman & Wakefield
APAC data centre capacity is projected to grow 2.7x by 2030, requiring over US$280 billion in capital expenditure, with India expected to account for nearly US$29.9 billion in development capital.
Source: MarketScreener · September 23, 2026 at 6:32 AM · AI-assisted report
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NEW DELHI, 23 SEPTEMBER 2026 —
India’s data centre development pipeline has reached 3,860 megawatts (MW) through 2030, signaling a massive acceleration in capacity expansion across the country’s major digital infrastructure markets.
Market Impact
According to a new report by Cushman & Wakefield, this substantial supply pipeline, which includes 509 MW currently under construction and 3,351 MW in the planning stage, underscores deepening long-term confidence in India’s digital infrastructure growth story.
The firm’s India Data Centre H1 2026 Update reveals that the country’s top seven data centre markets added 178 MW of new capacity during the first half of 2026, bringing total operational capacity to 1,789 MW as of that period. This growth is driven by hyperscale cloud adoption, artificial intelligence (AI) deployments, and enterprise digital transformation, positioning India as a critical node in the broader Asia Pacific (APAC) digital economy.
The expansion of India’s data centre sector is occurring against the backdrop of a transformative shift across the entire APAC region. Cushman & Wakefield’s 2026 Asia Pacific Data Centre Investment Landscape report projects that total data centre capacity in the region will increase by 2.7 times by 2030.
This growth trajectory outpaces the Americas, which is projected to see a 2.6x increase, and the Europe, Middle East, and Africa (EMEA) region, expected to grow by 2.3x. The APAC region’s development pipeline stands at 26,455 MW, compared to 15,135 MW of current operational capacity, reinforcing its position as one of the world’s fastest-growing digital infrastructure markets.
This regional surge is underpinned by significant capital requirements, with the report estimating that APAC’s data centre sector will need more than US$280 billion in capital expenditure through 2030.
Within this expansive regional context, India is projected to require US$29.9 billion in development capital through 2030, ranking among APAC’s largest data centre investment markets. The report highlights that nearly 77% of APAC’s projected capital expenditure through 2030 is expected to be deployed across five key markets: Japan, Malaysia, Australia, India, and Indonesia. These five nations represent approximately US$215 billion in investment opportunities, reflecting the concentration of digital infrastructure demand in the region.
Operational asset values across APAC are expected to exceed US$950 billion by the end of the decade, driven by this sustained capital injection. India’s role in this ecosystem is further emphasized by its status as one of the region’s most underpenetrated digital infrastructure markets, with approximately 825,333 people per MW of operational capacity, indicating substantial headroom for future expansion.
Mumbai continues to anchor India’s data centre ecosystem, boasting 890 MW of operational capacity and the country’s largest upcoming supply pipeline of 1,726 MW. The city’s dominance is supported by strong digital infrastructure, reliable power availability, and extensive connectivity. However, the report notes that data centre development activity is becoming increasingly distributed across other major hubs, reducing reliance on a single geographic center.
This diversification is critical for supporting the next phase of cloud adoption and AI deployment across the Indian economy. The sector’s footprint now spans 147 data centres operated by 33 providers across the country’s leading markets, reflecting the increasing scale and maturity of India’s digital infrastructure ecosystem.
Hyderabad is emerging as a major destination in this distributed landscape, with 151 MW of operational capacity and 710 MW of upcoming supply. The city’s growth is driven by hyperscaler investments and growing requirements for AI-enabled infrastructure. Chennai, a leading data centre market in India and a key secondary market in APAC, has 214 MW of operational capacity and 368 MW of upcoming supply.
Its expansion is supported by strong subsea connectivity and continued interest from operators. Delhi NCR follows with 183 MW of operational capacity and 387 MW of future supply, benefiting from cloud adoption, public sector digital initiatives, and rising demand for AI-enabled infrastructure. These three cities, alongside Mumbai, form the core of India’s high-capacity data centre network.
Other significant markets are also contributing to the national pipeline. Pune, with 133 MW of operational capacity and 258 MW of upcoming supply, continues to benefit from growing hyperscaler activity and the availability of competitively priced development-ready land. Bengaluru has 162 MW of operational capacity and 100 MW of future supply, supported by ongoing infrastructure expansion initiatives.
Kolkata, reflecting increasing operator activity in eastern India, has 22 MW of operational capacity and 84 MW of upcoming supply. The distribution of capacity across these diverse locations ensures a and resilient infrastructure base capable of supporting varied industrial needs.
Despite continued supply additions, the market has demonstrated its ability to absorb new capacity while supporting future expansion. Colocation vacancy stood at 14.9% as of H1 2026, a figure that indicates healthy demand fundamentals. This absorption rate suggests that the rapid increase in supply is being matched by genuine consumption from enterprises and cloud providers.
The stability of vacancy rates amidst a 178 MW addition in the first half of 2026 provides a clear signal to investors regarding the sustainability of the sector’s growth trajectory. It also highlights the efficiency of the market in integrating new assets into the existing operational framework without causing significant oversupply.
Cushman & Wakefield emphasized the strategic importance of this expansion in a statement accompanying the report. "India's data centre ecosystem is expanding in both scale and depth," the firm said.
"We are seeing capacity creation supported by a broader mix of operators, occupiers and locations, creating a stronger foundation for long-term growth." The report noted that with nearly 3.9 GW of additional capacity expected across the country’s leading markets by 2030, this deeper ecosystem will be critical in supporting the next phase of cloud adoption, AI deployment, and data-driven growth across the economy.
The firm added that the significance of India's data centre market today lies not just in the scale of capacity being added, but in the confidence that this level of investment reflects.
The report further stated that with India expected to account for a meaningful share of Asia Pacific's future data centre capital deployment, the market is increasingly becoming a strategic part of the region's digital infrastructure growth story. This perspective aligns with the broader APAC trends identified in the investment landscape report, where India is one of five key markets driving the majority of regional capital expenditure.
The convergence of high capital investment, expanding operational capacity, and distributed geographic growth positions India as a central player in the global digital infrastructure narrative. The data suggests a shift from early-stage adoption to mature, large-scale deployment, with infrastructure becoming a key enabler for economic digitalization.
For regional stakeholders, including those in Malaysia and other APAC markets, India’s trajectory offers a comparative benchmark for digital infrastructure development. The concentration of US$215 billion in investment across Japan, Malaysia, Australia, India, and Indonesia highlights the interconnected nature of the regional market. As India expands its capacity to 1,789 MW operational and 3,860 MW in the pipeline, it contributes to the overall 26,455 MW APAC development pipeline.
This regional scale ensures that data centre services remain competitive and accessible across borders, supporting multinational enterprises and cloud providers operating in the APAC region. The report’s findings provide a detailed roadmap for understanding where and how digital infrastructure is being built, offering insights for investors, developers, and enterprises planning their digital strategies in the coming years.
Cushman & Wakefield Ltd. published this content on September 23, 2026, and is solely responsible for the information contained herein. The report, distributed via Public Technologies, provides a comprehensive analysis of the data centre market dynamics in India and APAC. The data presented, including specific MW figures, capital expenditure estimates, and vacancy rates, offers a factual basis for assessing the sector’s health and future potential.
The emphasis on AI and hyperscale cloud adoption as primary drivers of growth reflects the current technological landscape, where data processing demands are rising exponentially. The report’s detailed breakdown of market-specific capacities, from Mumbai’s 890 MW to Kolkata’s 22 MW, illustrates the nuanced nature of the market, where different cities serve different roles in the national and regional infrastructure network.
The forward-looking nature of the report, projecting trends through 2030, provides a long-term perspective on the sector’s evolution. The expectation of 2.7x capacity growth in APAC and the associated US$280 billion capital expenditure requirement underscore the magnitude of the infrastructure build-out underway. India’s specific contribution of US$29.9 billion in development capital places it firmly in the top tier of APAC markets, alongside Japan, Malaysia, Australia, and Indonesia.
This positioning is significant for regional business planning, as it indicates where the bulk of new digital infrastructure will be located. The report’s conclusion that the market is becoming a strategic part of the region's digital infrastructure growth story encapsulates the broader impact of these developments, linking local capacity expansion to global digital trends.
The detailed metrics and projections provided offer a clear picture of a sector in rapid and sustained growth, driven by fundamental technological shifts and substantial capital investment.