Top News

Mumbai's Dominance in Data Centres

New Delhi, Sep 19: A recent report indicates that Mumbai has solidified its position as India's foremost data centre hub, contributing to 40% of the country's total capacity and 44% of its active IT capacity.

During the first half of 2025, the city's data centre capacity surged by 14.3%, surpassing the 4 GW mark. This includes 591 MW currently operational, 185 MW under construction, and an impressive 3.2 GW planned for the future, as per findings from a real estate services firm.

This expansion is part of India's broader data centre market, which exceeded 10 GW in the latter half of 2024, bolstered by 1.4 GW of active capacity and 400 MW under development.

With a take-up of 97.6 MW over six months, Mumbai's data centre vacancy rate stands at 5.4%, significantly lower than the national average of 12.3%. Notably, two-thirds of the space under construction has already been pre-leased.

Currently, three operational sites in Mumbai can accommodate hyperscale deployments exceeding 2.5 MW, with one site offering more than 10 MW of available capacity. This fragmented market of smaller facilities has prompted global firms and partnerships to plan large-scale campuses, including NTT's 500 MW NAV2 project and a 500 MW AI facility by Blackstone-Panchshil Realty.

Hyderabad, the second-largest data centre market in India, boasts a capacity of 2.1 GW and is gearing up for hyperscale growth with over 500 MW planned through two significant projects.

"With over 3 GW of capacity in the pipeline and robust policy support for green data centre parks, Mumbai continues to attract substantial global investments," stated Shishir Baijal, Chairman and Managing Director of the real estate firm.

The city's strong subsea cable connectivity, scalable power infrastructure, proximity to business hubs, and progressive state policies position it as South Asia's gateway for cloud, AI, and enterprise workloads.

"Mumbai has firmly established itself as the epicentre of India's digital infrastructure growth. While other metropolitan areas like Chennai, Hyderabad, and Bengaluru are gaining momentum, none can match Mumbai's scale, speed, and capability to serve as South Asia's gateway for cloud, AI, and enterprise workloads.