The pandemic propulsion

The data centre business has received strong tailwinds over the past six month or so from an unlikely source – the Covid-19 pandemic. Even as the pandemic and associated restrictions threw life and business out of gear, stalling growth in most sectors, it became a massive catalyst for digital adoption.

To be sure, the government had already begun to push India towards becoming a digital economy with its Smart Cities and Digital India initiatives before the pandemic struck. However, the crisis accelerated the transition to the digital medium as almost all aspects of daily life – be it banking, education, or shopping – switched to the digital medium almost instantaneously, leading to a boom in India’s digital ecosystem.

The upshot has been an exponential growth in data generation, and this has created unparalleled demand for data centres in India.

Add to this the government’s norms on data localisation, and the industry has a booster such as never before.