India is rapidly emerging as a regional data centre hub, attracting significant investments from domestic and global technology giants, thanks to its robust infrastructure, competitive costs, and favourable government policies. According to industry projections, India’s data centre capacity is expected to increase to several gigawatts by 2027–2030, driven by surging demand for artificial intelligence (AI) applications, cloud computing, and data localisation requirements.
Leading players such as Reliance Jio, Adani Group, and Airtel’s Nxtra, along with major international hyperscalers, are investing heavily to establish large-scale data centres across the country. Many of these companies are also connected to the steel sector either through ownership, partnerships, or infrastructure sourcing, as steel remains a critical component in the construction of high-capacity data centres.
India’s cost advantages, abundant skilled workforce, and expanding renewable energy capacity make it an attractive destination for global firms looking to set up data centres that are both efficient and sustainable. The government’s focus on digital infrastructure through initiatives like PM Gati Shakti and the National Data Centre Policy is further encouraging private sector participation.
Experts believe that India’s growing role as a data centre hub will not only strengthen the country’s digital economy but also generate significant demand for steel and construction materials, as large-scale facilities require substantial structural support.
The rise of AI and cloud services has accelerated this shift, with hyperscalers planning multi-billion-dollar investments to expand computing capacity in India. This trend positions India as a key player in the global digital infrastructure landscape, while simultaneously driving growth opportunities for steel producers and allied industries.
