Ease of cross-border data flow to push data centre investments in India: Report

Investing in data centres will allow providers such as telcos and real estate companies to diversify their revenue and assets, according to the report by 451 Research, part of S&P Global Market Intelligence.

   
data centre

Driven by friendly cross-border data flow, the data centre capacity in India, Indonesia and Malaysia is likely to increase at a compound annual growth rate (CAGR) of between 10-25 per cent over the next five years, a report showed on Monday.

Investing in data centres will allow providers such as telcos and real estate companies to diversify their revenue and assets, according to the report by 451 Research, part of S&P Global Market Intelligence.

“There are risks, however, given the capital intensity of the business. Local partnerships and prudent expansion will be key to containing emerging-market risk including evolving regulation, the availability of stable interconnectivity, and power supply infrastructure,” it added.

Driven by friendly cross-border data flow, the data centre capacity in India, Indonesia and Malaysia is likely to increase at a compound annual growth rate (CAGR) of between 10-25 per cent over the next five years, a report showed on Monday.

Investing in data centres will allow providers such as telcos and real estate companies to diversify their revenue and assets, according to the report by 451 Research, part of S&P Global Market Intelligence.

“There are risks, however, given the capital intensity of the business. Local partnerships and prudent expansion will be key to containing emerging-market risk including evolving regulation, the availability of stable interconnectivity, and power supply infrastructure,” it added.

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