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Data Centers in New Delhi

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New Delhi – Northern India's Connectivity Hub

New Delhi is the primary colocation and interconnection hub for Northern India. The market is essential for any organization targeting the region's massive population, government agencies, and thriving technology sector. Its dense connectivity provides a strategic advantage for low-latency application delivery and reliable access to one of the world's fastest-growing digital economies.

New Delhi: At A Glance

FactorRating / DataNotes
Global Connectivity GradeAA primary national hub with excellent domestic and international network links.
Direct Cloud On-RampsOver 1 – as of September 2025Direct access to AWS enhances hybrid cloud performance and reliability.
Power Cost$0.07/kWh – as of 2019Competitively priced power supports scalable, high-density deployments efficiently.
Disaster RiskHigh (5.5/10) – as of September 2025Primarily driven by potential for river flooding and seismic activity.
Tax IncentivesNoNo specific data center incentives are currently offered.
Sales Tax18% GST – as of September 2025The standard Goods and Services Tax applies to colocation services.

Network & Connectivity Ecosystem

New Delhi's network ecosystem is mature and competitive, offering excellent options for building resilient, high-performance infrastructure. The city serves as a critical junction for data traffic flowing across Northern India.

Carrier Density & Carrier Neutrality: The New Delhi market provides access to at least 8 major national and international carriers, as of September 2025. Carrier-neutral facilities offer a wide selection of providers for creating redundant network paths.

Direct Cloud On-Ramps: The region has 1 direct cloud on-ramp connecting to 1 cloud region, as of September 2025. This includes dedicated access to AWS via Direct Connect, allowing businesses to establish secure, private lines to their cloud resources.

Internet Exchange Points (IXPs): The National Internet Exchange of India (NIXI) has a significant presence in New Delhi. Peering at NIXI lowers transit costs and reduces latency for traffic within India by keeping data flows local.

Bare Metal: Bare metal cloud solutions are readily available from multiple providers. Global suppliers like Hivelocity offer dedicated server hosting in the region for workloads requiring maximum performance and control.

Power Analysis

Power infrastructure in New Delhi is capable of supporting high-density data center operations, though it relies on facility-level redundancy to ensure uptime.

Average Cost Of Power: Industrial power costs are approximately $0.07/kWh, as of 2019. This competitive pricing makes it economical to run compute-intensive applications without incurring excessive operational expenses.

Power Grid Reliability: While the regional grid can experience fluctuations, data centers in New Delhi are built with significant resiliency. Facilities feature multi-layer redundancy, including multiple utility feeds, enterprise-grade UPS systems, and long-duration generator backup to guarantee uptime.

Market Access, Business & Tax Climate

New Delhi's strategic location and business environment make it a top-tier data center market in South Asia.

Proximity To Key Business Districts: Data centers in the National Capital Region (NCR) provide low-latency connectivity to major business hubs like Connaught Place, Gurgaon, and Noida. This proximity is critical for financial services, e-commerce platforms, and technology companies headquartered in the area.

Regional Market Reach: Deploying in New Delhi provides a strategic foothold to serve hundreds of millions of users across all of Northern India. It is the ideal location for content delivery, cloud services, and enterprise applications targeting this vast and growing consumer base.

Tax Advantage For Data Centers: New Delhi does not offer specific tax incentives for data center investment. The primary financial advantage stems from the operational benefits of being located in one of Asia's largest and most dynamic digital markets.

Natural Disaster Risk

New Delhi has a high composite risk score of 5.5 out of 10, as of September 2025. Site selection and infrastructure design must account for specific regional and environmental hazards.

The INFORM Natural Hazard score is 7.8 out of 10. The most significant risks include:

  • River Flood: 9.2/10
  • Earthquake: 8.3/10
  • Tropical Cyclone: 7.7/10
  • Drought: 6.4/10

Although the region is inland, it faces significant risks from potential river flooding and seismic activity originating from the Himalayan tectonic plate. Modern data centers are engineered to mitigate these risks through structural reinforcements and strategic site placement.

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