Market Trends of Delhi-NCR Data Center Industry
Smartphones To Drive the Market Growth
- In terms of average smartphone data usage, India is currently the second-highest in the world, with 14.6 GB per month. In 2026, it is expected to increase by more than four times to reach 41 EB per month. According to the analysis, India is predicted to gain another 430 million smartphone subscriptions throughout the forecast period, bringing the total to more than 1.2 billion by 2026.
- According to an Ericsson mobility analysis, there were 810 million smartphone subscriptions in 2020. That number is projected to increase to over 1.2 billion by 2026 at a compound annual growth rate (CAGR) of 7%. Due to the country's increasing smartphone adoption, smartphone subscriptions made up 72% of all mobile subscriptions in 2020 and are expected to reach over 98% in 2026.
- Even though data surge is a global phenomenon, Delhi is quickly becoming a hub for data consumption. An Indian smartphone user uses roughly 9.8 GB of data each month. Data usage will almost double over the next five years due to the allure of on-demand video, intense gaming, and easy online shopping. They have devoured the internet world and turned into active netizens thanks to better networks and more reasonable tariffs. To maintain interest in this new wave, local businesses and hyperscalers are producing more and more material in the local vernacular.
- The future of the Delhi-NCR region data center business is bright. Data centers will play a more significant role in the nation's development as the Indian economy grows and digital technologies are more widely utilized. Due to increasing reliance on digital connections, the upcoming rollout of 5G, and the growing use of IoT-connected items, demand is expected to rise even more. With the right policies in place, India has the potential to dominate the use and growth of data centers on a global scale.
- Several state governments, including those in Uttar Pradesh, have established their plans to encourage the establishment of data centers through cost and power subsidies, stamp duty exemptions, discounts on renewable energy sources, and local IT component purchases.
Understand The Key Trends Shaping This Market
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Tier 3 is expected to hold significant share of market
- Infrastructure for concurrently maintainable sites is the term used to describe this Tier-3. Almost all physical incidents are protected from this tier-3 data center level. It offers numerous independent distribution pathways as well as redundant-capacity components. Each component can be removed or changed at this level without affecting the services provided to end users, which is another crucial action.
- Demand for cloud services has increased due to the pandemic, with requires continuous data backup, and digital transformation is speeding up in all industries. Hyperscale data centers have seen an increase in investment due to the cloud transition. In direct proportion to the growth in data consumption and use of the cloud, the necessity for data centers has increased tremendously.
- For larger enterprises, Tier III data center standards guarantee high availability and dependability through power, cooling, and building infrastructure requirements. A Tier III data center is equipped with several channels for electricity and cooling and methods for updating and maintaining it without bringing it offline. For all power, cooling, and distribution systems, it demands concurrent maintainability and at least n+1 redundancy.
- An estimated uptime for a Tier III data center is 99.982%, with a maximum of 1.6 hours of downtime per year. Some Tier III data centers, referred to as Tier III+ in the industry, provide fully fault-resistant hardware and 2N or N+1 for all systems and infrastructure. Accordingly, the Indian IT ministry intends to provide incentives for data centers within a national policy framework valued at up to INR 15,000 crores. According to a policy draft, the government plans to invest up to INR 3 lakh crores in the data center ecosystem in the next five years. Mumbai and Delhi-NCR are Google's two cloud computing hubs in India.
- Additionally, Indian data center operators have invested in technology to offer their clients the best services possible. When a company has access to scalable cloud services, it may compete successfully without being concerned about the declining returns that come with expansion. The data center provider ensures there are enough resources to handle increased resource demand. The scalability choices of data center services drive demand for data centers.
