Schneider Electric Projects Surge in India Data Center Business, Driven by AI Demand

Schneider Electric expects its India data center business to outpace its core operations over the next four to five years. Driven by a surging demand for AI-ready infrastructure, the segment currently accounts for 15 to 20 percent of the company’s India revenue. Speaking to Reuters, Sumati Sahgal, Vice-President for Secure Power and Data Centres, Greater India Zone, highlighted that data centers and grid modernization will remain the company’s strongest growth themes.

According to industry data from Astute Analytica, India’s data center market is projected to skyrocket to over 31 billion dollars by 2035, maintaining a compounded annual growth rate of over 13 percent. Sahgal noted that India’s data center capacity is on track to surge from the current 1.5 gigawatts to between 6 and 7 gigawatts by 2030. Furthermore, this digital infrastructure boom is expanding beyond traditional hubs like Mumbai and Chennai into states such as Gujarat and Rajasthan as enterprises move closer to their customers.

As India matures into both a consumption and manufacturing hub for power and cooling equipment, Schneider Electric is uniquely positioned to capitalize on this momentum. The company provides critical infrastructure—ranging from UPS systems and switchgear to precision cooling and energy management software—leveraging its local manufacturing capabilities to support hyperscalers, colocation operators, and modern enterprises handling intensive AI workloads.