Market Trends of India Data Center Power Industry
The IT & Telecom Segment is Expected to Have Significant Market Share
- Government, BFSI, and e-commerce are expected to drive the demand in the region. The government has widely promoted cashless payments in the country. With the demonetization of currency notes in 2016, Indian users increasingly transitioned to cashless payment services such as Gpay, Phonepay, and Amazon Pay, which work on the UPI interface.
- After the COVID-19 pandemic, the usage of cashless services has increased proportionally and is expected to reach 750 million users shortly. The availability of scan codes and ease of transaction led consumers to use the service increasingly. This is expected to increase the IT load capacity of the BFSI segment from 106.5 MW in 2023 to 594.7 MW by 2029 at a CAGR of 23.54%.
- Government services offered online have become user-friendly, which has led more than 77% of users to access them. Hence, the government segment's IT load capacity is expected to increase from 39.4 MW in 2023 to 237.9 MW by 2029 at a CAGR of 24.87%.
- Huge discounts that are convenient and comfortable offered to customers through online shopping websites have led to the wide acceptance of e-commerce in India. E-commerce services are expected to have 500 million shoppers by 2030. Thus, the IT load capacity of the e-commerce segment is anticipated to increase from 57.9 MW in 2023 to 317.2 MW by 2029 at a CAGR of 23.22%.
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Monitored PDU Holds Significant Share in the Market
- Monitored rack PDUs are essential components in data center and server room infrastructure, providing real-time monitoring of power usage, voltage, current, and other electrical parameters. This data helps administrators make informed decisions about power allocation and capacity planning.
- By tracking power usage trends, administrators can plan for future growth and ensure that power capacity is not exceeded, preventing overloads that could lead to equipment failures. It also helps identify inefficiencies and optimize energy usage. Eliminating unnecessary power consumption can save costs and reduce environmental footprint. Also, it allows administrators for remote access and control, reducing the need for physical presence and minimizing operational disruptions.
- The increasing focus on digitalization, Internet penetration, and e-commerce sales across the country creates a greater need for storage facilities, resulting in a huge demand for data centers and a rise in power consumption. The growing demand for data storage has led to the deployment of intelligent power distribution units (PDUs) against simple multi-socket rack installations with server and network equipment, which optimize power consumption in data centers.
- Key market players are focusing on introducing efficient power management systems because of the advancements mentioned with monitored PDUs and the necessity to reduce electricity consumption as per government measures in the country. In May 2023, Eaton, which provides the power management service, launched G3 Universal Input Rack PPDUs with dynamic C39 outlets capable of accommodating different plug configurations and input voltage requirements. To meet the most diverse data center rack power requirements, G3UPDU has added new features.
- In May 2023, Legrand, a significant global provider of electrical and digital building infrastructures, introduced the next generation of intelligent rack PDUs, PRO4X, and Raritan PX4. These new intelligent rack PDU designs revolutionize capacity planning, environmental monitoring, physical and digital access control, workload optimization, and uptime initiatives. Such developments in the segment are predicted to boost regional demand during the forecast period.
- Tulip data center, located in Bengaluru, with an IT load capacity of 100 MW, is the first mega-size data center in the country, which came into operation in 2012.
- Sify, STT, Tulip, and NXTRA own mega-sized data centers, all Tier 3 certified.
- AdaniConneX, a joint venture between Adani Enterprises and EdgeConneX, is projected to drive this category during the forecast period. Six mega-size DC projects, spread across the country, are under construction. Their combined IT load capacity is estimated to be 1 GW at total capacity upon completion. Sify, Yotta Infrastructures, CtrlS, and STT Telemedia are also developing DCs.
