Japanese tech firm NTT in a Press statement revealed that it is set to invest $2 Bn in India to build data centres. It will build new campuses in Navi Mumbai, Chennai, and Noida, and also augment capacities at its existing facilities in the financial capital and Bengaluru.
NTT inaugurated a solar power plant in the Solapur district of Maharashtra, Sharad said, adding that the overall investment for the two facilities inaugurated on Wednesday in Solapur and Chandiwali was $150 million. The company is also looking at a solar and wind power facility in Karnataka.
NTT Chief Executive for India Sharad Sanghi said, “We will invest $2 billion in India for building data centres over the next four years, a part of the commitment would be invested in building solar and wind power generating facilities because the company was committed to having its own captive power generation capabilities from renewable power at the same level as the consumption requirement in five years. The company will look at acquisition opportunities “opportunistically”, and any such move would lead to the overall investment going above $2 billion.”
Competition in the space has increased manifold with huge investment commitments being done by Adani Group and Hiranandani Group. Data consumption has gone up in the country and more companies are adopting the cloud-based approach. Additionally, local regulations that insist on data localisation require such facilities.
The funds will be utilized in building new campuses in Navi Mumbai, Chennai, and Noida, and also augment capacities at its existing facilities in the financial capital and Bengaluru. Sharad believes that eventually the data centre industry would see consolidation, just like the telecom sector.