📷 Image: Wikimedia Commons / Kavali Chandrakanth KCK
Technology
Hyderabad Outpaces Chennai in India’s Data Centre Race
✍️ Livemint
🗓 26 Sep 2026, 04:39 AM
👁 10
Hyderabad is emerging as the preferred destination for data centre investments, leaving Chennai behind in the growing Indian data infrastructure market.
Hyderabad is rapidly becoming the leading city for data centre development in India, outpacing Chennai in attracting new projects.
The competition among Indian cities to secure data centre contracts has intensified as the demand for cloud and edge computing infrastructure grows.
While Chennai has historically been a major IT hub, recent developments show a shift in investor preference towards Hyderabad, which offers a combination of lower operating costs and robust connectivity.
This trend could influence the distribution of technology jobs and economic growth across the two cities, with Hyderabad gaining a competitive edge in the sector.
Industry analysts note that the shift reflects broader changes in the data infrastructure landscape, highlighting the need for cities to adapt to evolving market dynamics.
The competition among Indian cities to secure data centre contracts has intensified as the demand for cloud and edge computing infrastructure grows.
While Chennai has historically been a major IT hub, recent developments show a shift in investor preference towards Hyderabad, which offers a combination of lower operating costs and robust connectivity.
This trend could influence the distribution of technology jobs and economic growth across the two cities, with Hyderabad gaining a competitive edge in the sector.
Industry analysts note that the shift reflects broader changes in the data infrastructure landscape, highlighting the need for cities to adapt to evolving market dynamics.