India Data Center GPU Market Research Report: Forecast (2026-2032)

India Data Center GPU Market Report Key Takeaways:

• The India Data Center GPU Market size is valued at around USD 0.17 billion in 2025 and is projected to reach USD 5.29 billion by 2032. The estimated CAGR from 2026 to 2032 is around 63.14%, indicating strong growth.
• By deployment, the cloud segment holds the largest market share, around 55% in 2025.
• By end user, the cloud service providers (CSPs) segment is leading the India Data Center GPU Market, with a market share of around 52% in 2025.
• By region, Mumbai leads the market with an estimated market share of around 36% in 2025.
• The leading India Data Center GPU Market companies are NVIDIA, Intel, Google Cloud (Alphabet), AMD, Amazon Web Services, IBM, Microsoft Azure, Cyfuture Cloud, Huawei Technologies, Qualcomm, and others.

Market Insights & Analysis: India Data Center GPU Market (2026-2032):

The India Data Center GPU Market size is valued at around USD 0.17 billion in 2025 and is projected to reach USD 5.29 billion by 2032. Along with this, the market is estimated to grow at a CAGR of around 63.14% during the forecast period, i.e., 2026-32.

The India Data Center GPU Market is entering a phase of accelerated expansion, driven by rapid AI and generative-AI adoption, deployment of advanced accelerators such as NVIDIA H100/H200 and AMD MI300 series, and unprecedented investments across the ecosystem.

A pivotal force behind this expansion is the government’s IndiaAI Mission, which added 3,850 GPUs in August 2025, taking the national shared compute pool beyond 38,000 GPUs. This significant scaling of public compute infrastructure is enabling enterprises, startups, and research institutions to train and deploy sophisticated AI models without bearing high capital expenditure, substantially widening access to high-performance compute.

India’s strategic urgency is justified as the country now generates 19% of the world’s data, yet holds only 6% of global data center capacity, underscoring a substantial infrastructure deficit. This gap is driving unprecedented capital inflows. Between 2023 and 2025, domestic and global technology companies announced over USD 32 billion for new data center development.

Looking ahead, global hyperscalers are projected to invest around USD 80 billion between 2026 and 2030, with AI workloads and GPU-intensive cloud services at the core of their India strategy. The national expansion pipeline is equally robust, with 1,760 data centers scheduled for completion by 2032, led by key players such as NTT Data, ST Telemedia, Nxtra Data, Microsoft, AdaniConneX, CtrlS, Yotta, Web Werks, Lumina Cloudinfra, and Sify Technologies.

Large-scale commitments include the Adani Group’s USD 5 billion investment in Google’s India AI data center, part of a 1 GW AI campus; Reliance and Brookfield’s USD 10+ billion project; and the USD 2 billion TCS–TPG venture dedicated to AI-ready infrastructure. Meanwhile, innovators like Novacore Innovations are advancing the ecosystem by launching India’s first Blackwell-powered GPU cloud for generative-AI workloads.

With expanding compute capacity, intensifying AI adoption, and sustained multi-billion-dollar investments, India is positioned to become one of the world’s most dynamic and strategically important data center GPU markets over the next decade.

India Data Center GPU Market Recent Developments:

• June 2025: NxtGen Cloud Technologies unveiled a new GPU-powered data centre in Karnataka to support advanced enterprise AI workloads. The facility incorporates liquid-cooled high-performance GPUs and will scale with additional NVIDIA H200 and AMD MI325x units. The launch strengthens India’s domestic AI compute ecosystem.
• January 2025: Sify Technologies will invest around USD 5 billion to expand AI-ready data centers across 20 emerging Indian cities. The plan includes upgrading facilities with advanced GPUs and AI infrastructure to support enterprises, cloud workloads, and regional digital growth.

India Data Center GPU Market Scope:

India Data Center GPU Market Drivers:

Rapid Adoption of AI & Generative AI Adoption

India’s accelerating adoption of AI and generative-AI technologies is sharply increasing national demand for high-performance, data-center GPU infrastructure. For instance, the IndiaAI Mission, launched in March 2024 with an approved USD 1.15 billion budget, reflects the government’s commitment to building large-scale AI compute capacity.

Under this programme, the IndiaAI Compute Portal made 14,000 GPUs available by early 2025, and by May 2025, the country’s publicly accessible compute pool reached 34,333 GPUs, adding 15,916 GPUs in a short period. This expansion allows researchers, startups, and enterprises to train and deploy advanced generative-AI and ML models without investing in expensive hardware, supported by GPU access costing as low as USD 0.75 per hour.

Global cloud providers are reinforcing this momentum. For instance, Google has pledged USD 15 billion (2026–2030) to build its first India-based AI Hub, designed for hyperscale AI workloads.

Meanwhile, Microsoft has announced USD17.5 billion (2026–2029) to expand AI and cloud infrastructure across the country. These long-term commitments highlight rising enterprise reliance on GPU-enabled AI training, inference, and large-language-model deployments.

The combination of government-led compute expansion under the IndiaAI Mission and multibillion-dollar hyperscaler investments is creating a strong, sustained growth cycle for GPU demand in India. As enterprises, research institutions, and public-sector bodies increasingly adopt generative AI and high-compute workloads, the need for advanced GPU-enabled data-center infrastructure will accelerate significantly in the coming years.

India Data Center GPU Market Trends:

Growing Use of NVIDIA H100/H200 and AMD MI300 Series

India’s rapid scale-up of AI infrastructure has led to a significant rise in deployments of advanced accelerators such as NVIDIA H100/H200 and AMD MI300 series. For instance, in 2023, Yotta Data Services announced one of India’s largest GPU cloud expansions, procuring 4,096 NVIDIA H100 GPUs with a roadmap to reach 16,384 GPUs by mid-2024 and 32,768 GPUs by end-2025, strengthening high-performance AI compute availability for enterprises and research institutions.

In 2025, E2E Cloud commissioned two major clusters across Delhi NCR and Chennai featuring 1,024 NVIDIA H200 GPUs each (a total of 2,048 H200 GPUs). These clusters collectively deliver high-bandwidth memory performance and over 288.8 TB of GPU RAM, enabling training and fine-tuning of large-scale language, vision, and multimodal models capabilities previously accessible only through global hyperscalers.

The Government of India has also recognized the need for cutting-edge accelerators. For instance, the IndiaAI Mission tender explicitly includes next-generation GPUs NVIDIA H100/H200 and AMD MI300-class units as approved architectures for the country’s national compute platform, ensuring public institutions gain access to best-in-class AI hardware.

Post-2025, expanding IndiaAI investments, hyperscaler capacity additions, and accelerating enterprise AI deployment will intensify demand for H100/H200 and MI300 GPUs. As model complexity increases, these advanced accelerators will remain essential, firmly positioning the market for sustained, long-term growth & expansion.

India Data Center GPU Market Challenges:

Heavy Cost for Power, Cooling, and Infrastructure Hinders Market Growth

A major structural challenge for India’s data-center GPU industry is the high cost of power and cooling, both of which intensify significantly when deploying dense GPU racks. As per regulatory submissions referenced by TRAI, power-related expenses account for nearly 75% of a data center’s operating cost in India. Frequent grid instability in major hubs further compels operators to rely on diesel generators and UPS systems, raising operational expenditure substantially.

Rising thermal loads from GPU clusters are also driving cooling costs upward. For example, several operators in Noida, Manesar, and Delhi experienced around a 15- 20% increase in operating costs due to expanded cooling requirements for AI-ready infrastructure.

Developing AI-grade data centers in India demands for higher capital due to advanced electrical, cooling, and redundancy requirements. These elevated costs limit smaller operators and slow GPU-focused expansion. Without improvements in grid reliability, renewable power adoption, and efficient cooling, rising energy and infrastructure expenses will continue to constrain nationwide deployment of GPU-enabled data-center capacity.

India Data Center GPU Market (2026-32) Segmentation Analysis:

The India Data Center GPU Market Report and Forecast 2026-2032 offers a detailed analysis of the market based on the following segments:

Based on Deployment

• On-Premise
• Cloud
• Hybrid

The cloud segment holds the major market share, around 55% in the India Data Center GPU Market, primarily due to its scalability and lower upfront cost. Organizations increasingly rely on cloud platforms to handle GPU-intensive tasks such as generative AI, deep learning, and high-volume data processing, as these workloads require powerful accelerators that are expensive to procure and maintain on-premise.

Cloud providers, including global hyperscalers like AWS, Microsoft Azure, and Google Cloud, along with Indian operators such as Yotta, Nxtra, and Sify, offer immediate access to advanced GPUs without requiring enterprises to build costly electrical, cooling, or security infrastructure. This flexibility allows businesses, startups, and researchers to scale compute resources instantly based on project needs.

Government-backed initiatives such as the IndiaAI Compute platform, which provides shared GPU access, further reinforce cloud-first adoption. As a result, the cloud model leads due to its cost-efficiency, rapid deployment capability, and accessibility, making it the preferred choice for modern AI and GPU-driven workloads.

Based on End Users

• Cloud Service Providers (CSPs)
• AI Research Labs & Model Developers
• Telecommunications & Edge Networks
• Manufacturing & Industrial Automation
• Healthcare & Life Sciences
• Education & Research Institutions
• BFSI
• Energy & Utilities
• Media and Entertainment
• Government & Defense
• Others

The cloud service providers (CSPs) hold the largest market share, around 52%. Market dominance is due to the accelerating adoption of AI workloads, LLM development, and the rapid expansion of GPU-as-a-service models. Between 2024 and 2025, both global hyperscalers and domestic cloud operators made record-level GPU investments to meet rising demand from enterprises, government agencies, and AI-driven startups.

The dominance of CSPs is reinforced by their ability to deploy GPU clusters at scale, offer flexible consumption pricing, and ensure high availability across distributed data-center campuses.

A major development strengthening this leadership occurred in May 2025 when Microsoft and Yotta Data Services announced a strategic collaboration to integrate Azure AI services with Yotta’s high-density GPU infrastructure. This partnership enables enterprises across India to access advanced AI, machine learning, and inference capabilities through the cloud without heavy capital expenditure.

By combining Azure’s AI platforms with Yotta’s rapidly expanding GPU footprint, the initiative significantly enhances nationwide cloud-based AI accessibility, reinforcing CSPs as the primary drivers of GPU adoption in India.

India Data Center GPU Market (2026-32): Regional Projection

The India Data Center GPU Market is dominated by the Mumbai region with a market share of 36%, supported by its advanced digital infrastructure, strong power availability, and concentration of GPU-intensive end users such as BFSI institutions, OTT platforms, and global cloud providers.

The Navi Mumbai belt has evolved into the country’s largest data-center cluster, hosting extensive deployments by AWS, Microsoft, Google, NTT, AdaniConneX, Yotta, CtrlS, and Web Werks, which continue to expand GPU-enabled capacity.

The region’s strategic advantage is strengthened by multiple international submarine cable landings, including IAX, IEX, SEA-ME-WE, and MRS routes offering low-latency global connectivity essential for AI model training, inference, and cloud GPU services.

Ongoing hyperscale expansions reinforce its leadership as Yotta increased GPU availability across the NM1–NM2 campus in 2025, AWS added new compute blocks in 2024, and AdaniConneX and NTT are developing additional hyperscale modules.

This combination of scalable infrastructure, connectivity depth, and concentrated enterprise demand ensures Mumbai remains the country’s most dominant and growth-ready region for GPU-powered data center development.

Gain a Competitive Edge with Our India Data Center GPU Market Report 

• India Data Center GPU Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions. 
• This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition. 
• India Data Center GPU Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.

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