In Short:
ST Telemedia Global Data Centres (STT GDC) is investing $3.2 billion in India to expand its data centre capacity by 550 megawatts over the next five to six years. This expansion will nearly triple its IT load capacity to support India’s growing digital economy. With 28 data centres across 10 cities, STT GDC aims to enhance digital infrastructure and maintain its 28% market share.
ST Telemedia Global Data Centres (STT GDC) announced on Friday a significant investment of $3.2 billion (approximately Rs 26,000 crore) aimed at expanding its data centre capacity in India by an impressive 550 megawatts over the next five to six years.
Investment Significance
This strategic move will nearly triple the Singapore-headquartered data centre company’s IT load capacity, positioning it to better meet the increasing demands of India’s rapidly growing digital economy. STT GDC India, in which Tata Communications holds a minority stake, currently operates 28 data centres across 10 cities, with a cumulative capacity exceeding 318 megawatts of IT load and servicing approximately 1,000 enterprise customers.
Executives’ Statements
According to STT GDC, this investment underscores its confidence in India and the expansion of its digital economy, which is experiencing driving forces such as heightened data consumption, cloud computing, digital transformation, and the rising adoption of AI applications. The company is optimistic that this investment will further reinforce its market leadership in a country where it currently commands a 28% market share by revenue.
“At STT GDC, we aspire to play an active role in co-investing and contributing to India’s long-term success by enhancing the foundational digital infrastructure that will propel the Digital India initiative,” stated Bruno Lopez, Group Chief Executive at STT GDC. “We are looking forward to the future opportunities and are confident in our capacity to significantly support India’s digital transformation.”
Future Outlook
The growth trajectory of India’s digital economy is presently almost three times that of its GDP growth, with projections suggesting it may reach a $1 trillion valuation by 2027-2028, Lopez noted.
Engagement with Government
Recently, STT GDC participated in a business roundtable led by Prime Minister Narendra Modi during his two-day visit to Singapore, hosted by the Singapore Business Federation. The company maintains operations across several countries, including Singapore, the UK, Germany, India, Thailand, South Korea, Indonesia, Japan, the Philippines, Malaysia, and Vietnam.
