India's RMZ Plans $35 Billion Data Center Expansion to Reach 2-3 GW Capacity
June 19, 2026
India's RMZ Plans $35 Billion Data Center Expansion to Reach 2-3 GW Capacity
Indian diversified real estate and investment firm RMZ is set to significantly scale its data center operations, targeting a capacity of 2 to 3 gigawatts over the next five years as part of a broader $35 billion investment push, a senior executive said. The move underscores India’s emergence as one of the world’s most competitive markets for computing capacity, fueled by massive commitments from global technology firms and Indian conglomerates toward artificial intelligence infrastructure and data centers.
The Bengaluru-headquartered company, which currently operates 250 megawatts of data center capacity, is in the final stages of negotiations for three new projects that would collectively push its total capacity beyond 1 gigawatt, according to Deepak Chhabria, president of RMZ Infrastructure. He added that the firm also plans to acquire land by the end of the year capable of supporting an additional 2 gigawatts of data center development.
In April, RMZ announced a plan to invest more than $35 billion over the next five years to build co-location data centers and AI factories, alongside exploring a potential initial public offering. The company’s expansion comes as India’s digital infrastructure sector is expected to attract over $50 billion in planned spending across data centers, cloud, and AI ecosystems, making it a fiercely contested market for hyperscale computing resources.
"We are seeing only positive signs from some of the hyperscalers, and I think by the middle of this year, we will start ramping up capacity as we get clients signed up," Chhabria said in an interview, declining to name specific customers. He noted that RMZ views its data center growth as a gateway into adjacent businesses, including graphics processing units (GPUs), power infrastructure, and software. "Now we will use that as a stepping stone eventually to go up the food chain and build the bottom layer of power," he added, referring to the company’s plans to deepen its involvement in the infrastructure supporting AI and cloud computing.
RMZ built its existing 250-megawatt capacity through a joint venture with UK-based Colt Data Centre Services, and the two partners are actively exploring further growth opportunities, Chhabria said. The company operates across major Indian cities, including Bengaluru, Mumbai, and Hyderabad, and sees its data center strategy as a critical pillar for capturing value in the rapidly expanding digital economy.
Source: channelnewsasia
