India's data centre sector has attracted $173B investments since 2021: CBRE

Since 2021, India's data centre sector has drawn in $173 billion in investment commitments, according to real estate firm CBRE. This surge in investment comes as investors remain optimistic about the sector's future prospects, driven by the growing adoption of technology, particularly in cloud computing, artificial intelligence (AI), and digitalization efforts.

In the first half of 2026, India's data centre market added approximately 130 megawatts (MW) of new capacity, with an additional 200 MW expected to become operational by the end of the year. CBRE reported that the cumulative investment commitments since 2021 have reached about $173 billion, with the sector accounting for 62% of the total during this period.

Hyperscale and co-location investments have been the primary drivers of this investment boom. CBRE's report, titled "Beyond Growth: India's Rise Among APAC's Leading Data Centre Markets," released on Tuesday, highlights the sustained momentum in investments as a testament to robust investor confidence. This confidence is fueled by increased cloud adoption, AI-related demand, and ongoing digitalization initiatives.

Anshuman Magazine, Chairman and CEO of CBRE, emphasized that India's data centre sector is scaling at a pace unmatched by many other markets in the region. By the end of this year, India's data centre sector is expected to reach 2 GW of installed capacity, marking a significant milestone. What sets India apart is the disciplined approach behind this growth, characterized by over $170 billion in cumulative investment commitments, Mumbai's continued leadership, and an increasing share of AI-linked capital investments.