A recent report by Cushman & Wakefield has listed Mumbai as a “powerhouse” data center market alongside Tokyo, Beijing, Johor, Syney and Shanghai. The report titled Asia Pacific Data Center H1 2025 Update presents a maturity index of 30 global data center markets across APAC.
The report says that Mumbai maintains its position as “India’s largest and most dynamic data center market, demonstrating sustained momentum in both operational capacity and development activity.” It further finds that over the past six months, the city added approximately 52MW to its live data center stock. “With around 180MW of the 337MW currently under construction slated for completion within the next six months, Mumbai’s total operational capacity is projected to reach nearly 800MW by the end of 2025 – provided developments proceed as scheduled.”
According to the report, the Thane-Belapur Road cluster remains the epicenter of data center activity in the region, accounting for nearly 70 percent of the city’s operational capacity and over 82 percent of the development pipeline. But the report finds that due to extensive land acquisitions in this cluster over the past 2–3 years, securing suitable land parcels for future expansion has become increasingly difficult in this cluster. “As a result, operators are actively exploring alternative locations in the extended metropolitan region, with areas such as Palava emerging as potential hubs for new developments.”
Cushman & Wakefield’s report also found that despite a 10 percent increase in operational capacity, the vacancy rate increased marginally from 6 percent in H2 2024 to 6.6 percent in H1 2025 – indicating that demand continues to outpace supply. “This surge in demand is primarily driven by hyperscale cloud service providers and banking institutions, both of which are expected to remain key contributors to capacity take-up in the near term. Additionally, the market is beginning to see early-stage deployments of AI-driven workloads,which are anticipated to further accelerate demand for high-density, scalable infrastructure,” says the report.
The report goes on to spotlight upcoming projects like PDG’s launch of its second facility DC2 at the Airoli campus, which has a total capacity of over 150MW across five facilities. NTT also announced plans for its 500MW NV2 campus, while the Blackstone-Panchshil joint venture also announced its plan to develop a 500MW campus in Navi Mumbai. It also shed light on upcoming subsea cables that will help enhance connectivity. “Three new cables – India Europe Xpress (IEX), SeaMeWe-6, and Raman – are on track for deployment by 2026, further strengthening the city’s position as a strategic digital gateway,” says the report.
Meanwhile, Hyderabad, Chennai, Delhi and Pune, have made it to the list of “developing” markets. “Operational capacity in the Delhi NCR data center market rose from 129MW in H2 2024 to 146MW in H1 2025, marking a 13 percent increase,” found the report. “Vacancy rate, however, surged to 44 percent due to slower demand uptake and the commissioning of new supply. With only around 20MW expected to become operational in the remainder of 2025 and a gradual absorption of existing capacity, the vacancy rate is projected to decline in H2 2025.” However, the report acknowledged that Noida and Greater Noida continue to be the preferred destinations for data center development, accounting for 92 percent of the 233MW currently in the development pipeline, as they offer strategic advantages in terms of infrastructure and scalability.