India’s AI race is becoming an infrastructure race
By Mukesh Bansal, Founder and CEO, NuPlay AI
India’s AI race is increasingly becoming an infrastructure race.
India’s data-centre sector is entering a period of rapid capacity expansion, with AI emerging as an important driver of new, high-density infrastructure. KPMG estimates that India’s data-centre market could grow from approximately $1.7 billion in FY26 to nearly $6.8 billion by FY30. At the same time, CBRE says India had around 1.75 GW of operational data-centre capacity by the end of H1 2026, with AI adoption driving higher-density deployments and specialised compute requirements.
The implication is bigger than the construction of more server rooms.
AI workloads require a different physical infrastructure. Training large models demands enormous amounts of compute. Inference—the process of running those models for users—requires speed, reliability and increasingly low latency. Both can require significantly higher power and cooling density than many traditional data-centre environments were designed for.
That makes India’s...
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