India's edge data centre capacity may triple to 210 MW by 2027: ICRA
edge data centre
capacity is expected to triple from 60-70 MW in 2024 to nearly 200-210 MW by 2027, led by established players such as
RailTel
and
telecom companies
to serve emerging technologies such as fifth-generation (5G) networks and the
Internet of Things
(IoT), according to the latest report released by
ICRA
on Thursday.
During the same period, the edge data centre capacity as a percentage of India's total data centre capacity may increase from 5% to 8%, the ratings agency found.
Edge
data centres
are smaller, decentralised facilities located closer to end-users and devices, compared to typically large and centralised traditional data centres.
These smaller data centres, located mainly in tier-2 and tier-3 towns and cities, facilitate real-time data processing with minimal latency, making them suitable for innovative technologies.
ICRA, however, noted that India is a relatively new entrant in the data centre market. 'Excluding the edge data centre capacity used for captive purposes by one of the large data centre operators, the current edge data centre capacity as a percentage of total capacity is as low as 1%,' it said.
Globally, edge data centres accounted for 10% of the overall data centre capacity of 50 GW at the end of December 2024. The US leads the edge data centre market with a 44% share, followed by Europe, the Middle East and Africa (the EMEA) region at 32% and Asia Pacific region at 24%.
'With the expanding cloud ecosystem of India, traditional data centres will keep fuelling mass-scale computing, artificial intelligence (AI), and cloud workloads, and edge data centres will facilitate real-time processing and localised services,' said Anupama Reddy, vice president and co-group head (corporate ratings), ICRA.
Traditional and edge data centres are expected to operate in the hub-and-spoke model to enhance efficiencies across sectors such as healthcare, banking, agriculture, defence, and manufacturing, among others, Reddy added.
ICRA cautioned that despite the promising outlook, some key challenges for edge data centres include security vulnerabilities due to remote deployments, rapid technological changes that risk obsolescence, a shortage of skilled professionals in remote areas, and interoperability issues with traditional data centres.
'The rentals for edge data centres are anticipated to be on the higher side compared to traditional data centres, as they will be catering primarily to retail customers against enterprise/hyperscale customers for traditional data centres,' Reddy said.
The relatively higher capex cost per MW for an edge data centre compared to a traditional data centre is expected to be compensated by higher rentals. 'Established DC players and entities like RailTel, telcom operators are likely to lead the edge data centre expansion in India,' she said.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
News18
2 hours ago
- News18
TDP-led govt tarnishing Andhra Pradeshs image, says YSRCP
Amaravati, Jul 30 (PTI) The YSRCP on Wednesday accused the TDP-led NDA government in Andhra Pradesh of tarnishing the state's image by allegedly extorting industrialists, including a leading automobile manufacturer in Rayalaseema. The former MP claimed that leaders of the ruling alliance were demanding contracts, commissions and jobs, which he said could lead to factory closures and relocation of industries. 'The coalition government is tarnishing Andhra Pradesh's industrial and social fabric," YSRCP leader Talari Rangaiah said in a release issued by the party. 'Instead of visionary governance promised by Chief Minister N Chandrababu Naidu, what we see is extortion and mismanagement," he alleged. Rangaiah accused the government of 'plundering" the state's natural resources such as sand, quartz and liquor, and of stifling avenues of wealth creation. He further alleged that welfare schemes were being 'manipulated to benefit party loyalists, in violation of the principle of impartiality". The YSCRCP claimed that the number of welfare pension beneficiaries is 'steadily declining", while field assistants, animators and contractors are being retrenched, contradicting the government's promises of job creation. Rangaiah said the previous YSRCP ensured transparent and corruption-free delivery of welfare schemes through direct benefit transfer. This corrupt government threatens industries and impoverishes citizens, he alleged, calling for immediate corrective measures to protect Andhra Pradesh's economic and social future. Senior TDP leader G Deepak Reddy hit back at Rangaiah, accusing him of making false claims. 'These statements are not only factually incorrect but a deliberate attempt to mislead the public and cover up the YSRCP government's anti-industry track record," Reddy told PTI. It was under the visionary leadership of Naidu that the automobile company was brought to Andhra Pradesh, he said, adding that the state government at that time ensured a conducive environment for industrial growth, resulting in one of the largest foreign investments in the state's history. The automobile company created thousands of direct and indirect jobs, boosting the local economy and placing Andhra Pradesh on the global industrial map, he said. Contrary to the YSRCP's claims, Reddy said, it is their actions that have undermined investor confidence. He said the TDP is committed to transparent, industry-friendly governance and the creation of quality employment opportunities for the people of Andhra Pradesh. 'We call upon the YSRCP to refrain from spreading misinformation and instead focus on creating a stable and welcoming environment for investment and development," Reddy said. PTI STH DIV DIV view comments First Published: July 31, 2025, 01:00 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
Time of India
4 hours ago
- Time of India
NITK launches IoT-enabled Smart Laundry service for hostel students
Mangaluru: The laundry services at NITK have turned smart. The institution launched a Smart Laundry at a few of the NITK hostels. The facility is provided and maintained by Haier Smart Solutions. Specially designed for college students, it offers unique features that ensure a more convenient and economical in-campus washing experience. Pushparaj Shetty D, professor in-charge (hostels), NITK Surathkal, said that it is backed by the Internet of Things (IoT). Fully automated, each washing machine can be managed by students through an app. They can use their mobile phones to reserve, monitor, schedule, and pay at their convenience. Currently, this facility is available in four hostels, namely Everest, Himalaya, Kailash, and Godavari, on a trial basis. Earlier, the laundry was done by a service provider where each dress was charged. However, Shetty said this new facility is more affordable compared to traditional laundry services. He said the use of the service for each washing session costs Rs 30, and the capacity of the commercial washing machine is 10 kg. "Currently, it is running on a trial basis. There are a total of 25 washing machines installed in four blocks out of a total of 16 hostel blocks. Based on the response received, we will extend the services to other hostels in the coming days," said Shetty, adding that it will benefit students a lot. The facility was inaugurated by KV Gangadharan, dean, planning and development, in the presence of Prof Pavan Kumar, dean, student welfare (in-charge). The inaugural event witnessed the participation of the council of wardens, faculty members, hostel staff, supervisors, and student representatives. A live demonstration of the use of the machine was conducted by Vighnesh from Haier Group, highlighting the features and proper use of it.
The Print
4 hours ago
- The Print
Imposition of 25 pc tariff by US likely to have adverse impact on India's GDP: Experts
Earlier in the day, US President Donald Trump announced the imposition of a 25 per cent tariff on all goods coming from India starting August 1, plus an unspecified penalty for buying military equipment and crude oil from Russia. Higher tariff, if sustained, may directly affect key sectors such as marine products, pharmaceuticals, textiles, leather, and automobiles, where bilateral trade has been especially robust, experts added. New Delhi, Jul 30 (PTI) The imposition of 25 per cent tariff on US imports plus a penalty from August 1 will dent India's GDP, experts said, expressing hope that it should be mitigated by 'mutually beneficial' trade deal being negotiated with the United States. The surprise announcement came a day after Indian officials said a US trade team would visit from August 25 to negotiate a trade deal. When the US had initially imposed tariffs, we had lowered our forecast of India's GDP expansion to 6.2 per cent for FY26, presuming a tepid rise in exports and a delay in private capex, ICRA Chief Economist Aditi Nayar said. 'The tariff (and penalty) now proposed by the US is higher than what we had anticipated, and is therefore likely to pose a headwind to India's GDP growth. The extent of the downside will depend on the size of the penalties imposed,' Nayar added. EY India Trade Policy Leader Agneshwar Sen, said it is important to note that both countries remain positively engaged in active negotiations with the US team expected in India later in August to finalise a comprehensive trade agreement. '…considering our shared interests and history of cooperation, the two sides will be able to address these contentious issues constructively and arrive at a mutually beneficial agreement in the very near term,' Sen said. The 25 per cent tariff rate is certainly a negative development as it compares to lower rate for peers such as Vietnam, Indonesia, and the Philippines, which compete with India in a similar category of labour-intensive products and electronic goods, Elara Capital Economist Garima Kapoor said. The exact details of the tariffs on the exempted items such as pharma and the ones that were charged at a differential rate such as iron, steel and auto is unknown as of now, but inclusion of pharma into tariffs should be incremental negative for India's exports as US accounts for more than 30 per cent of India's pharma exports, she said. 'If no deal is signed by September-October, we see a downside to full-year GDP growth estimate for India by 20 basis points,' she said. Rishi Shah, Partner and Economic Advisory Services Leader at Grant Thornton Bharat said given the escalating rhetoric around Russia-Ukraine negotiations, some form of adverse development was anticipated. Two fundamental aspects merit emphasis, he said, adding that the first is that policy positions are rarely final, in today's rapidly evolving global scenario. Second, markets consistently demonstrate remarkable adaptive capacity, even under adverse conditions, economic actors innovate and new equilibria emerge. 'Finally, sustaining the growth momentum will ultimately depend on the ability to innovate while deepening economic partnerships across the global landscape. The current situation reinforces the wisdom of our multi-alignment approach in an increasingly multipolar world order,' Shah added. According to Nachiketa Sawrikar, fund manager with Artha Bharat Global Multiplier Fund, the Indian government would not be surprised by this tariff rate because its peers like China have a 30 per cent tariff rate. 'However other Asean countries have a tariff rate of 19-20 per cent. Bangladesh is trying to also get to the 20 per cent range. So it is not good news for India but could have been worse,' he said. Rahul Ahluwalia, Founder-Director of Foundation for Economic Development, said a 25 per cent tariff will leave India 'worse off' vis-a-vis competing countries like Vietnam and China. He emphasised that India should aim to reach a deal with the US on trade policy. Utsav Verma, Head of Research, Institutional Equities at Choice Broking, said investors will reassess their strategies with a mix of caution and optimism. Sectors like textiles, pharmaceuticals, and automotive components are likely to be the most impacted and may see reduced investor interest in the short term. However, recent progress in trade negotiations suggests a constructive path forward, and 'we believe that the trade deal will eventually follow, provided both nations show the necessary political will', he said, adding that many investors expect the tariff rate to eventually settle around 15 per cent. According to Medical Technology Association of India Chairman Pavan Choudary said Trump's announcement on Truth Social declaring steep tariffs on India from August 1 is troubling and seems economically shortsighted and strategically misguided. As a sovereign nation, India makes independent choices in defence and energy based on national interest and long-term strategic priorities, he added. 'Attempting to punish these decisions through coercive trade measures is not only inappropriate but also counterproductive. Framing a key democratic partner in adversarial terms sends the wrong signal and could jeopardise a relationship built on shared strategic interests and trust,' Choudary added. PTI JD DP MBI HG MSS TRB TRB This report is auto-generated from PTI news service. ThePrint holds no responsibility for its content.
