NTT DATA to invest $1.5 billion in India, add 400 MW data centre capacity in three years

Tokyo-based global IT services and consulting company NTT DATA looks to invest $1.5 billion to add 400 MW of data centre capacity over the next three years in India, Alok Bajpai, the newly appointed India MD for its global data centres division, told Fortune India. This will ramp up the company’s current capacity by almost 2.4 times.

“In the coming years, the goal is to add at least 400MW of new data centre capacity, building on our current base of more than 18 data centres across key metros. Our commitment is to [undertake] aggressive investment and innovation, ensuring we meet the evolving needs of our clients and support India’s digital transformation, all while prioritising sustainability and operational excellence,” he said.

For now, however, the strategy entails massive investments in the India business. Bajpai is betting on doubling India’s growth rate in terms of revenue and its client base. 

“India remains a cornerstone of NTT DATA’s global growth strategy. This includes the development of India’s largest data centre campus and the commissioning of the MIST submarine cable system, which will significantly enhance India’s global connectivity,” Bajpai added.

With an initial cost of $400million, the Malaysia, India, Singapore Transit (MIST) submarine cable system spans around 8,100 kilometres, connecting Malaysia, India's Mumbai and Chennai, Singapore and Thailand.

Launched in late 2019 by Orient Link, a joint venture of NTT, Fund Corporation for the Overseas Development of Japan’s ICT and Postal Services (JICT) , WEN Capital, NTT Data had announced in March the commissioning of the system to begin from June.

India’s data centre industry is set to grow rapidly, with capacity projected to rise 77% and reach 1.8 GW by 2027, according to a JLL report. The sector crossed the 1-GW mark in 2024, clocking a 24% CAGR since 2019. This surge is driven primarily by cloud service providers, who accounted for 54% of the demand in late 2024, followed by the BFSI and technology sectors at 18% and 12%, respectively.

The growing adoption of AI is expected to further accelerate demand, positioning India as a key player in global digital infrastructure. As a result, Bajpai said, the plan is to invest in talent acquisition, especially in AI and cloud technologies, alongside infrastructure growth, to build India as a global digital delivery hub. In India, the company is present in more than seven cities, including New Delhi, Bangalore, Pune, and Mumbai.

“In the mid-term, we aim to further strengthen our leadership by doubling our growth rate in India, targeting a pace well above the national average, and expanding our client base across key sectors such as banking, manufacturing, and automotive,” Bajpai shares.

“We are also committed to sustainability, to operate on 100% renewable energy by 2030 in India. Our vision is to power India’s digital future with cutting-edge infrastructure, innovative services, and a robust ecosystem that drives economic progress,” he adds.