Big Shifts Data centers gear up for the next phase of growth

India’s data centre ecosystem is undergoing a significant transformation, driven by rapid digitalisation, growing enterprise and hyperscaler demand, and the surge in artificial intelligence (AI) workloads. Sukrit Anand, Vice President, Investment and Strategy, Digital Connexion, offers his perspectives on how India’s data infrastructure is gearing up for the next phase of growth.

Sukrit Anand

The data centre industry has evolved dynamically over the past five years. Capacity has almost doubled, and the CAGRs have been over 30 per cent. Today, it has become a favoured sector for real estate private equity and investors. In the next three to five years, this industry is expected to see exponential growth, largely driven by the increasing demand for AI and cloud.

A primary focus for Digital Connexion (a joint venture between Brookfield, Digital Realty and Reliance Industries Limited) has been access to power, which could become a bottleneck over the next two to three years. Digital Connexion has an in-house green power portfolio of almost 20 GW, which will be leveraged to serve its customers.

Further, Digital Connexion is currently building approximately 140 MW of capacity across Chennai and Mumbai. Its vision is to create a best-in-class infrastructure layer that caters to large-scale and enterprise customers. It aims to provide enterprise customers with the same level playing field and infrastructure capabilities that large-scale customers enjoy.

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