As per the report titled “Beyond Growth: India’s Rise Among APAC’s Leading Data Centre Markets”, Mumbai continued to anchor this expansion, accounting for 94 per cent of all new supply added in first half of 2026.
Established micro-markets such as Navi Mumbai (Mumbai) and Siruseri (Chennai) continue to witness the bulk of new activity. The strategic advantages of these markets, including multiple cable landing stations, supportive government policies, and established financial ecosystems, have reinforced their position as preferred destinations for BFSI institutions, cloud service providers, government entities, and technology and media companies (including OTT platforms), it said.
The share of Tier IV data centres in overall supply rose to 43 per cent in first half of 2026, up from 21 per cent in 2024, the report said.
India’s Data Centre sector attracted approximately USD 38 billion in investment commitments in H1 2026, taking cumulative commitments since 2021 to approximately USD 173 billion, it said.
Hyperscale and colocation investments accounted for close to 62 per cent of the cumulative DC commitments from 2021 to first half of 2026, the report said.
More than 15 per cent of cumulative commitments from 2021 to first half of 2026 were tied to artificial intelligence (AI).
“Touching 2 GW of installed capacity by the end of this year would be a significant milestone, but what stands out is the discipline behind this growth: India’s cumulative investment commitments of over USD 170 billion, Mumbai’s continued leadership, and a rising share of AI-linked capital all point to a market that is maturing even as it expands. This also reinforces India’s position within Asia Pacific, where data centres remain among investors’ most preferred asset classes,”  Anshuman Magazine, Chairman and CEO, India, South-East Asia, Middle East and Africa, CBRE, said in a statement.
India has advanced from a ‘High Growth Market’ to Asia Pacific’s ‘Leading Data Centre Markets’ category in 2026, joining Japan, Australia and Mainland China, reflecting the increasing scale, maturity and strategic importance of its ecosystem, the report said.
Investor interest in the space remains strong: data centres ranked as the fourth most preferred asset class in CBRE’s 2026 Asia Pacific Investor Intentions Survey.
Multi-city portfolios accounted for more than 85 per cent of commitments in first half of 2026, while domestic investors continued to hold the largest share of cumulative capital deployed since 2021, at 38 per cent, ahead of the United States at 27 per cent, CBRE said.
Domestic developers accounted for 48 per cent of new supply added in first half of 2026, ahead of American (28 per cent) and European (24 per cent) players, underscoring the growing depth of Indian capital and execution capability in the sector, the report said.
While more than 80 per cent of India’s operational capacity remains concentrated in Mumbai, Chennai and Delhi-NCR, the incremental supply is expected to extend into secondary and emerging hubs, supported by the availability of land, power and water in these locations.
The strength of India’s data centre supply pipeline reflects the sustained demand we continue to see from BFSI, cloud, hyperscale and OTT occupiers, particularly across Mumbai and Chennai,” said Ram Chandnani, Managing Director, Leasing Services, CBRE India.
“As the market scales towards 2 GW, we expect the next wave of growth to also extend into emerging hubs such as Hyderabad, Bengaluru, Kolkata and Visakhapatnam, supported by improving infrastructure and state-level incentives, “he added.