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Data Centers in Pune

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Pune – India's Emerging Tech & Disaster Recovery Hub

Pune is a primary disaster recovery and secondary data center market for enterprises based in Mumbai. The city offers a compelling combination of lower operational costs, a skilled workforce from its many universities, and a rapidly growing technology and manufacturing base, making it a strategic location for resilient, high-performance infrastructure.

Pune: At A Glance

FactorRating / DataNotes
Global Connectivity GradeBStrong national connectivity, with growing international links via Mumbai.
Direct Cloud On-RampsOver 1 – as of September 2025Microsoft Azure is available directly within the Pune market.
Power Cost≈$0.07/kWh – as of 2019Competitive industrial power rates support cost-effective, scalable operations.
Disaster RiskHigh (5.5/10) – as of September 2025Primarily driven by flood and earthquake risk; requires robust facility engineering.
Tax IncentivesNoNo specific data center tax incentives are currently offered.
Sales Tax18% GST (general) – as of September 2025The standard Goods and Services Tax applies to colocation services.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Pune's data centers provide access to over 7 major domestic and international carriers, as of September 2025. Carrier-neutral facilities are common, offering diverse connectivity options essential for building resilient networks and avoiding vendor lock-in.

Direct Cloud On-Ramps: The market has over 1 direct cloud on-ramp, enabling low-latency hybrid cloud deployments, as of September 2025. Microsoft Azure maintains a presence here, allowing businesses to establish private connections directly to their cloud environments.

Internet Exchange Points (IXPs): While most hyperscale peering occurs in Mumbai, local IXPs like NIXI facilitate efficient traffic exchange between local networks. This improves latency and reduces transit costs for users within the Pune region.

Bare Metal: Bare metal cloud solutions are readily available from multiple providers in Pune. These services offer the dedicated performance needed for high-intensity workloads like AI, big data, and gaming.

Power Analysis

Average Cost Of Power: Industrial electricity pricing in the region is approximately $0.07/kWh, as of 2019. This competitive rate, lower than many global hubs, provides a significant operational cost advantage for power-intensive deployments. The grid is primarily supplied by fossil fuels (~75%), with a growing renewable component.

Power Grid Reliability: The power infrastructure supporting Pune's main data center zones is well-engineered, with significant investment in redundancy. Facilities are typically fed by multiple substations, ensuring high levels of uptime and service continuity for mission-critical applications.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers in Pune are strategically located near major IT parks and industrial corridors like Hinjewadi and Talawade. This proximity provides low-latency connectivity for the city's thriving automotive, manufacturing, and information technology sectors.

Regional Market Reach: As a key city in the state of Maharashtra, Pune provides excellent network reach to a population of over 125 million people. Its location on the Deccan Plateau also makes it a vital secondary hub serving Central and Southern India.

Tax Advantage For Data Centers: The primary financial advantage for data center operators in India is the ability to claim input tax credits under the GST regime. This mechanism helps reduce the overall tax burden on capital expenditures and operational costs.

Natural Disaster Risk

Pune has a High risk profile, with an INFORM score of 5.5 out of 10, as of September 2025. The risk assessment highlights that while the region is a popular disaster recovery site for coastal Mumbai, it carries its own set of significant environmental threats that must be mitigated through careful site selection and facility design.

Key natural hazards include:

  • River Flood: Score 9.2
  • Earthquake: Score 8.3
  • Tropical Cyclone: Score 7.7
  • Drought: Score 6.4
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