Data centres have increasingly become a critical aspect of the contemporary economy, given their crucial role in storing, processing, and disseminating information. This has been particularly noticeable in India, where the rise of digital activities such as e-governance, online banking and virtual businesses have caused a surge in data demands.
India’s Data Revolution: A Peep Into Yotta D1
Situated in Greater Noida, Uttar Pradesh, Yotta D1 is north India’s inaugural hyperscale data centre. Built at a cost of Rs 5,000 crore, this colossal facility stretches over 3 lakh square feet within a budding Data Centre Park. Remarkably, the introduction of Yotta D1 has considerably expanded India’s data storage capacity which, prior to its launch, stood at a meagre 2%. Now, Yotta D1 is not just India’s largest data centre, but a crucial pillar for North India’s impending 5G revolution.
The centre’s array of features includes internet peering exchanges and direct fibre connectivity to global cloud operators. These attributes make Yotta D1 a handy tool for establishing global connectivity. Economically, the data centre promises to bolster Gross State Domestic Product (GSDP), thereby creating new investment corridors and numerous employment opportunities.
Growth Trajectory of Data Industry in India
According to assertive estimates, India’s data analytics industry may be valued over $16 billion by 2025. This impressive growth has been fueled by an unexpected catalyst – Covid-19. The pandemic, with its resultant lockdowns and social restrictions, has accelerated digitisation across sectors like banking, education, shopping and many more leading to increased data consumption and demand for broader internet bandwidth.
NIC Data Centres and Their Role in e-Governance
The National Informatics Centre (NIC) has been instrumental in setting up National Data Centres (NDCs) in crucial locations including Delhi, Pune, Hyderabad and Bhubaneswar. Launched in 2008 in Hyderabad, these data centres are the backbone of India’s e-governance infrastructure, catering to various digital initiatives employed by the government.
Mapping India’s Data Centre Landscape
Presently, India boasts about 138 data centres, with Mumbai and Chennai accounting for approximately 57% of the total IT capacity. The next five years promise a five-fold increase in the capacity of Indian DC industry, involving investments between Rs 1.05 -1.20 lakh crore. Moreover, 45 more data centres are expected to pop up by the close of 2025, predominantly in Mumbai and Chennai.
Policymaking Around Data Centres
The Ministry of Electronics and Information Technology aims to roll out a National Policy Framework for Data Centres. This policy will provide incentives worth up to Rs 15,000 crore. Some states like Tamil Nadu, Telangana, Uttar Pradesh, West Bengal and Odisha already have their unique State Data Centre Policies.
Future Prospects of Data Centres in India
With India expected to draw $1 trillion of economic value from the digital economy by 2025, data centres have a significant role to play. The current global review of manufacturing, distribution, and technology locations has put data centres at the heart of decision-making, particularly within the Asia Pacific region. To ensure competitive positioning, India would need to address key concerns such as power costs and renewable energy usage.
Last Modified: February 18, 2024