With this addition, the country’s total operational data centre capacity is on track to reach 2 GW by the end of the year.
Mumbai continued to anchor this expansion, accounting for 94% of all new supply added in H1 2026. This reinforced the city’s position as India's primary DC hub even as the overall market scales and diversifies.
The report highlighted that the supply infusion is being met by sustained capital inflows: India's DC sector attracted approximately USD 38 billion in investment commitments in H1 2026, taking cumulative commitments since 2021 to approximately USD 173 billion. Hyperscale and colocation investments accounted for close to 62% of the cumulative DC commitments from 2021 to H1 2026.
Notably, more than 15% of cumulative commitments from 2021 to H1 2026 were tied to artificial intelligence (AI), reflecting the growing influence of AI-linked demand on the sector's investment trajectory.
"India's data centre sector continues to scale at a pace few markets in the region can match," said Anshuman Magazine, Chairman and CEO, India, South-East Asia, Middle East and Africa, CBRE. "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."
India's rise is also being recognised at a regional level. The country 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. 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.
The market's growing sophistication is also reflected in its facility mix, with the share of Tier IV data centres in overall supply rising to 43% in H1 2026, up from 21% in 2024. Investment strategies have also evolved: multi-city portfolios accounted for more than 85% of commitments in H1 2026, while domestic investors continued to hold the largest share of cumulative capital deployed since 2021, at 38%, ahead of the United States at 27%.
The composition of supply addition is notable too. Domestic developers accounted for 48% of new supply added in H1 2026, ahead of American (28%) and European (24%) players, underscoring the growing depth of Indian capital and execution capability in the sector.
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).
However, while more than 80% 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. "Nearly half of the new capacity added this year has come from domestic developers, a clear sign of the depth Indian players now bring to this sector. 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."
