Government Highlights Rapid Expansion of Data Centre Capacity to Support India's Growing Digital and AI Infrastructure

The Ministry of Electronics & IT reports that India’s data centre capacity has risen from 375 MW in 2020 to about 1,575 MW in 2026, driven by growing AI and high‑performance computing demand. Private domestic and global firms are expanding facilities in metros such as Mumbai, Chennai, Hyderabad, Bengaluru, Delhi NCR and Gujarat, and are now targeting states like Andhra Pradesh, Madhya Pradesh, Chhattisgarh and West Bengal. The government does not provide subsidies for data centre establishment. Operators are adopting advanced cooling methods (direct‑to‑chip liquid, adiabatic, immersion, closed‑loop) to improve water‑use efficiency, in line with Ministry of Jal Shakti guidelines.