The artificial intelligence revolution is triggering a massive infrastructure boom in India, and global energy management giant Schneider Electric is positioning itself right at the center of it.

The company expects its Indian data center business to wildly outpace its core operations over the next four to five years. Driven by an insatiable corporate appetite for AI-ready infrastructure, the specialized segment is already growing at a double-digit pace. Currently, data centers account for 15% to 20% of Schneider Electric's total revenue in India, but executives project that share will skyrocket, News.Az reports, citing Reuters.

"This business will contribute to a much faster pace of growth than what the rest of the core business sees," Sumati Sahgal, vice-president for Secure Power and Data Centres (Greater India Zone), said. Alongside grid modernization, Sahgal flagged data centers as one of the company's absolute strongest growth engines moving forward.

The scale of India's digital transformation is staggering. According to market research from Astute Analytica, India's data center market is on track to reach a valuation of $31.36 billion by 2035, sporting a compounded annual growth rate of over 13%.

Furthermore, India's total data center capacity is projected to explode from its current 1.5 gigawatts to a massive 6 to 7 gigawatts by 2030.

Where the growth is happening: While traditional tech hubs like Mumbai and Chennai continue to lead, the AI-driven demand is pushing infrastructure into new territories. Companies are increasingly building capacity closer to their customers, sparking new data center developments in states like Gujarat and Rajasthan.

This geographic expansion has transformed India into both a massive consumer and a key manufacturing hub for data center power and cooling equipment. Demand is surging across the board from tech hyperscalers, colocation operators, and large enterprises looking for integrated digital infrastructure.

Because AI workloads require immense amounts of electricity and generate extreme heat, efficient infrastructure is non-negotiable. Schneider Electric—which manufactures locally in India—is capitalizing on this by supplying critical hardware and software, including advanced UPS systems, switchgear, precision cooling units, and AI-optimized energy management software.

News.Az 

By Aysel Mammadzada