STT GDC India launches fourth Chennai data centre

STT GDC India last week announced the launch of its fourth data centre in Chennai, with phase one of the 45MW facility now operational.

STT GDC in India

Located in the SIPCOT IT Park, Siruseri, the STT Chennai 7 data centre is designed as a 45MW "AI-ready" facility. The first phase that is currently operational is 7.2MW.

STT GDC India also has 40MW already operational at its Chennai Ambattur campus, split between the STT Chennai 2 and STT Chennai 3 data centres.

Earlier this month, STT GDC India held the groundbreaking of STT Chennai 4, also at the Ambattur campus. According to the company website, it will offer 18MW of capacity.

Possible IPO mooted

In its press release, STT GDC India says it is evaluating options for future expansion in India, including a potential IPO in the first half of 2027 to accelerate growth.

STT GDC holds a 74% stake in STT GDC India, with Tata Communications holding the remainder. STT GDC initially acquired a controlling interest in Tata Communications' data centre business in India back in 2016.

A KKR-led consortium in February announced the full acquisition of STT GDC at an enterprise value of S$13.8 billion. How the potential IPO of STT GDC India fits into the broader post-acquisition strategy remains to be seen.

India on the fast track

As I noted in August last year, there is just 1.4GW of data centres in operation across India today. That's a dismal figure given that it is the world's most populous nation with over 1.4 billion people.

The Indian government is making a concerted push to woo investors to get on the AI bandwagon and leapfrog ahead in the digital infrastructure race.

On 1 February, Finance Minister Nirmala Sitharaman announced that India will offer a 20-year tax holiday to overseas firms that offer global data centre services from the country.

India also has other things going for it, including some 11.18GW of renewables at present and a push to develop more.