AirTrunk to Commit $21 Billion in India Data Centre Development
AirTrunk to Invest $21.05 Billion in Maharashtra Data Centre
Australia's AirTrunk has signed a letter of intent for land allotment in India's western state of Maharashtra for a data centre, according to a statement from the state's chief minister on X. The data centre, which will have a capacity of 3 GW, is expected to be located in the Raigad Penn Growth Centre, situated on the outskirts of the financial capital Mumbai.
The investment is backed by U.S.-based investment firm Blackstone, which supports AirTrunk's expansion into the Indian market. AirTrunk already operates data centres in Hong Kong, Japan, Malaysia, and Singapore. This move marks a significant step towards the company's growth in the region.
The Indian government has been actively courting foreign investors with tax breaks for domestic data centres. As a result, U.S. tech giants are expected to invest over $630 billion in the country this year. The trend is also being driven by local conglomerates, with Reliance and Adani committing approximately $110 billion and $100 billion, respectively, to AI and data infrastructure in February.
Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data
| Company | Investment Commitment |
|---|---|
| Reliance | $110 billion |
| Adani | $100 billion |
The data centre investment by AirTrunk is a testament to the growing demand for digital infrastructure in India. The country's strategic location, combined with its business-friendly policies, makes it an attractive destination for investors looking to expand their operations in the Asia-Pacific region.
Investor Takeaway
Investors should consider the growing demand for data centres in India and the potential for tax breaks to attract foreign investment.
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