Rising demand for data centres with 5G, IoT adoption: Savills India study

An additional 15-18 million sq ft may be required by companies over next 4-5 years

With the adoption of 5G, Internet of Things, Artificial Intelligence, and increasing use of cloud services, real estate demand for data centres is set to see an upward momentum by 15-18 million square feet in the next 4 to 5 years across major Indian cities, according to a Savills India report.

Data centres have been one of the real estate asset classes that is least affected due to Covid-19 related crisis across the globe including in India, indicating their crucial role in supporting continued business activity, said the report titled Poised for Growth: Data Centres in India.

Given India’s rich network connectivity, cost advantage, and availability of skilled labour, the country is well positioned to serve as a regional data centre hub in Asia Pacific and is likely to attract significant data centre investments. A snapshot of data centre boom in India: