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Telangana Aims for 5 GW Data Center Capacity by 2029
24 Sep
Summary
- Telangana targets 5 GW data center capacity by 2029.
- State aims to attract $30 billion in AI and digital infrastructure investment.
- Expansion driven by AI-scale computing and high-density GPU demand.
Telangana is setting an ambitious goal of reaching 5 GW of data center capacity by 2029, positioning Hyderabad as a crucial center for AI and hyperscale infrastructure. The state government estimates this expansion could attract around $30 billion in investments throughout the broader AI and digital infrastructure ecosystem.
The current operational data center capacity stands at 300 MW, with an additional 2 GW under development. This capacity includes contributions from major global and Indian operators such as Microsoft, AWS, and CtrlS. The drive for this expansion is increasingly influenced by the need for AI-scale computing, high-density GPUs, and advanced cooling systems.
Telangana's IT minister announced the 5 GW target during the inauguration of Microsoft's new data center region in Hyderabad. This initiative aligns with a long-term plan to develop a dedicated 1,500-acre data center city in Aloor, on the outskirts of Hyderabad. Recently, TCS subsidiary HyperVault secured a significant land parcel for a 1 GW AI data center campus, signaling substantial investment in the state's digital future.
