| Study Period | 2021 - 2031 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2031 |
| Market Size (2025) | USD 5.27 Billion |
| Market Size (2031) | USD 31.90 Billion |
| CAGR (2025 - 2031) | 35.02 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
India Data Center Processor Market Analysis
The India Data Center Processor Market size is estimated at USD 5.27 billion in 2025, and is expected to reach USD 31.90 billion by 2031, at a CAGR of 35.02% during the forecast period (2025-2031).
- Present Impact of AI in India: AI is transforming India's digital landscape in 2024, elevating services in banking, healthcare, and agriculture, while tailoring experiences for consumers. With AI boosting productivity and driving innovation, the groundwork for economic expansion is firmly laid.
- Investments by leading players in the industry towards digital economy: Tata Communications and Yotta, in collaboration with Nvidia, aim to boost India's computing capabilities twentyfold by year-end. This initiative goes beyond technology; it's a strategic bet on India's rapid digital transformation and its rich linguistic diversity. Nvidia's integration of Hindi into its AI highlights its commitment to making advanced technology accessible to all. Ultimately, Nvidia's engagement in India highlights how multinational corporations (MNCs) can drive economic growth, not only by enhancing computing power but also by creating new job opportunities.
- Future Scope of the Market: Exciting new developments in CPU technology are consistently emerging. This research aims to provide qualitative insights into CPU advancements, focusing on addressing the technology's most pressing shortcomings. Given that CPUs serve as the brain of every computer, these advancements hold significant relevance. Computers are here to stay. With the rise of artificial intelligence (AI) and its heightened attention across industries, there's a strong likelihood that AI will play a pivotal role in the future enhancement of CPUs. For India, these advancements could drive significant benefits, including boosting the country's growing IT sector, enhancing AI-driven innovations, and supporting the development of high-performance computing systems critical for industries like healthcare, education, and manufacturing.
India Data Center Processor Market Trends
High-Performance Computing Trends Fueling Demand for Colocation Data Centers in India
- In 2024, India's Colocation IT Load capacity reaches approximately 2,551.5 MW, marking it as one of the highest in the APAC region to date.
- Yotta Data Services has teamed up with NVIDIA to enhance its Shakti Cloud platform with advanced GPU computing infrastructure. This partnership aims to bolster AI solution development in India, making top-tier AI capabilities accessible to a wide array of organizations, businesses, researchers, and startups nationwide.
- Through this alliance, Yotta has secured its position as the inaugural NVIDIA Partner Network cloud partner (NCP) in India and has been elevated to the status of an Elite Partner on the global NCP roster. In addition, Yotta is rolling out an NVIDIA-powered reference architecture, integrated with NVIDIA InfiniBand networking, enabling GPU clusters to efficiently handle extensive AI training, inferencing, and high-performance computing (HPC) tasks.
- As demand surges for such intensive workloads and computational prowess, the need for data generation, processing, and storage will inevitably grow, driving up the demand for colocation data centers nationwide. This trend is poised to bolster India's IT load capacity throughout the forecast period.
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5G Boom and Its Ripple Effect on India's Data Center Processor Market
- By 2029, India is set to have 840 million 5G subscriptions, making up nearly 65% of the nation's mobile subscriptions. At the close of 2023, India boasted around 119 million 5G subscriptions. This rapid growth highlights an escalating demand for data centers, crucial for handling the anticipated data traffic surge. As a result, these data centers are likely to see a rise in water consumption. The increasing demand for data centers is also expected to drive growth in the data center processor market in India, as processors are essential for managing the high computational requirements of 5G-enabled operations.
- In light of the increasing importance of data centers, the Government of India introduced a draft 'National Data Centre Policy'. While several major Indian states have launched their own data center policies, others have signed MoUs with private firms for data center development. As a result, India's data center capacity is set to double from 499 MW in 2021 to 1,008 MW by 2023. However, these policies fail to address a significant concern: the environmental impact of data centers. Primarily, data centers affect the environment through their water consumption. Operating continuously, they require vast amounts of water for cooling, which can strain local watersheds. Moreover, challenges can arise from the disposal of this cooling water. Yet, as India's experience shows, with the right political commitment—an endeavor many state governments are currently undertaking—it's possible to alleviate water scarcity issues and champion sustainable water practices. The expansion of data centers, driven by 5G adoption, is anticipated to fuel the demand for advanced processors, further propelling the growth of the data center processor market in India.
- 5G adoption is poised to significantly bolster India's economy. Its influence will span diverse sectors, from smart cities and autonomous vehicles to advanced robotics and artificial intelligence (AI). This technological leap promises swifter, more efficient, and cost-effective operations, amplifying productivity and spurring innovation. Beyond a mere tech upgrade, the 5G wave is a pivotal force reshaping India's economic landscape, societal dynamics, and its stature on the global stage. With the world closely observing, India stands at the forefront of the 5G revolution, heralding a promising digital future. The growing adoption of 5G and its associated technologies is expected to create a robust demand for high-performance processors, further strengthening the data center processor market in India.
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India Data Center Processor Industry Overview
- In the moderately consolidated landscape of India's data center processor market, five key players stand out. Leading the charge are Intel Corporation, Ampere Computing LLC, NVIDIA Corporation, Qualcomm Incorporated, and Advanced Micro Devices Inc.
- Intel has introduced its latest x86 processor family, the Intel Core Ultra 200V series, in India. The Intel Core Ultra 200V series delivers superior performance, advanced power efficiency, improved graphics capabilities, seamless application compatibility, enhanced security features, and exceptional AI computing capabilities.
India Data Center Processor Market Leaders
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Intel Corporation
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Advanced Micro Devices Inc.
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Ampere Computing LLC
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NVIDIA Corporation
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Qualcomm Incorporated
- *Disclaimer: Major Players sorted in no particular order
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India Data Center Processor Market News
- October 2024: In a major move, Nvidia has inked a deal to supply its Blackwell AI processors to Reliance. This partnership is set against the backdrop of a massive data center taking shape in Gujarat, as unveiled at the Nvidia AI summit in Mumbai. Once operational, the data center, boasting a capacity of one gigawatt, is poised to play a pivotal role in bolstering extensive AI operations.
- September 2024: Intel has unveiled its latest x86 processor family, the Intel Core Ultra 200V series, in India. The new processors in the Intel Core Ultra 200V series are set to offer outstanding performance, groundbreaking power efficiency, a notable upgrade in graphics capabilities, smooth application compatibility, bolstered security, and unmatched AI computing prowess.
India Data Center Processor Industry Segmentation
- Data centers house and manage critical applications and data, using computing and storage networks for efficient delivery. Processors—GPUs, CPUs, and TPUs—are central to their operation. GPUs handle multitasking, excelling in graphics rendering and AI tasks. CPUs, with multi-core architecture, support parallel processing. TPUs, designed for machine learning, stand out from GPUs, which have transitioned from graphics to AI applications.
- India Data Center Processor Market is Segmented by Processor Type (CPU, GPU, FPGA, AI Accelerators), by Application (Advanced Data Analytics, AI/ML Training and Inferences, High Performance Computing, Security and Encryption, Network Functions, and Others), by Architecture (x86 and Non-x86 (ARM, Power and other processors), and by Data Center Type (Enterprise, Colocation and Cloud Service Providers). The Report Offers the Market Size and Forecasts for all the Above Segments in Terms of Value (USD).
| Market Segmentation - By Processor Type | GPU |
| CPU | |
| FPGA | |
| AI Accelerator | |
| Market Segmentation - By Application | Advanced Data Analytics |
| AI/ML Training and Inferences | |
| High Performance Computing | |
| Security and Encryption | |
| Network Functions | |
| Others | |
| Market Segmentation - By Architecture | x86 |
| Non-x86 (ARM, Power and other processors) | |
| Market Segmentation - By Data Center Type | Enterprise |
| Colocation | |
| Cloud Service Providers |
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India Data Center Processor Market Research FAQs
How big is the India Data Center Processor Market?
The India Data Center Processor Market size is expected to reach USD 5.27 billion in 2025 and grow at a CAGR of 35.02% to reach USD 31.90 billion by 2031.
What is the current India Data Center Processor Market size?
In 2025, the India Data Center Processor Market size is expected to reach USD 5.27 billion.
Who are the key players in India Data Center Processor Market?
Intel Corporation, Advanced Micro Devices Inc., Ampere Computing LLC, NVIDIA Corporation and Qualcomm Incorporated are the major companies operating in the India Data Center Processor Market.
What years does this India Data Center Processor Market cover, and what was the market size in 2024?
In 2024, the India Data Center Processor Market size was estimated at USD 3.42 billion. The report covers the India Data Center Processor Market historical market size for years: 2021, 2022, 2023 and 2024. The report also forecasts the India Data Center Processor Market size for years: 2025, 2026, 2027, 2028, 2029, 2030 and 2031.
India Data Center Processor Industry Report
Statistics for the 2025 India Data Center Processor market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. India Data Center Processor analysis includes a market forecast outlook for 2025 to 2031 and historical overview. Get a sample of this industry analysis as a free report PDF download.
