Five Predictive Technology Infrastructure Trends for India in 2025

Manoj Paul, Managing Director, India, Equinix, shares five predictive technology infrastructure trends for India to watch for in 2015 . He opines that sustainability, AI driven infrastructure, edge computing, hybrid multicloud and cybersecurity are key considerations for IT strategy.

The rapid pace of technological change shows no signs of slowing down, and the year 2025 will be no different. It is crucial for businesses and digital leaders across industries to stay ahead of these shifts in order to fully harness the potential of emerging technologies and overcome the challenges they bring, ultimately driving growth. India has consistently demonstrated its commitment to technological advancement, both through progressive policies and strategic investments, positioning itself at the forefront of global innovation by leveraging its talent pool and early adoption of new technologies by enterprises and the Indian people.

Equinix remains dedicated to facilitating this ongoing evolution by offering resilient digital infrastructure and essential interconnection services that empower organizations to leverage the strengths of hybrid multicloud and AI. Looking ahead to 2025 and beyond, there are five key trends expected to shape the business and technology landscape in India.

Trend 1: Sustainability measures by data centers

By 2025, India’s data center landscape is set to undergo a revolutionary transformation in sustainability practices, driven by the growing emphasis on environmental responsibility and technological innovation. With the current installed power capacity of 430 GW projected to nearly double to 820 GW by 2030, and renewable energy sources expected to contribute 61% of this expanded capacity, the industry is reimagining its approach to environmental stewardship. This shift is marked by significant advancements in green technologies, including efficient cooling systems, AI-driven infrastructure management, modular designs, and energy-efficient hardware that have considerably reduced the environmental impact of enterprise data centers. Forward-thinking operators like Equinix are pioneering advanced cooling solutions, particularly state-of-the-art liquid cooling systems that not only support the burgeoning demands of AI and high-performance computing but also help to combat India’s unique climate challenges. Equinix brings in the experience gained from global deployments of liquid cooling systems to help Indian customers in their AI journey.

The sector is witnessing an unprecedented push toward renewable energy adoption, with innovative facilities already achieving 50-70% renewable energy integration through a combination of on-site generation and strategic power purchase agreements. Power purchase agreements (PPAs) are an effective way for data centers to procure renewable energy and contribute to the expansion of renewable energy sources within local markets. Equinix is increasingly focused on expanding the breadth and quality of its renewables portfolio. Recently, we signed our first PPA in India, unique with a combination of solar and wind, to provide maximal renewable energy to match the consumption of our growing portfolio of data centers in Mumbai and in turn support the nation’s renewable energy target along with creation of new capacity of energy production.

Water sustainability, particularly crucial in India’s water-stressed regions, is emerging as a cornerstone of future planning, driving innovations in recycling systems and smart conservation technologies. The integration of AI-powered infrastructure management systems is revolutionizing power efficiency, enabling facilities to optimize performance up to 100 kW per rack while minimizing environmental impact.

This comprehensive approach to sustainability isn’t just about meeting global standards – it’s about setting new benchmarks that align with India’s unique environmental challenges and technological aspirations.

Trend 2: Embracing a hybrid approach to AI deployment, incorporating private AI infrastructure


Much of the initial boom in AI service deployment has been facilitated by the availability of Large Language Models (LLMs) available in the public cloud. However, we are seeing digital enterprises increasingly recognizing that alternative infrastructure approaches might be better suited for some AI workloads – particularly those involving private data. 

Rather than sending user queries and their associated data to be processed by models in the public cloud – an approach we can term ‘Data To The Model’ – many organizations are now using a ‘Model To The Data’ approach. This involves deploying AI models on private computing infrastructure, adjacent to the organization’s private data storage, typically in physical locations which are close to the end-users of the model.  This approach can potentially offer benefits from the perspectives of privacy, speed and cost.

Privacy – Many of the most promising AI use cases involve applying the technology to data sets which may be sensitive, private or even regulated – think of fraud protection systems for banks leveraging financial records, or preventative healthcare services depending on medical images.  To keep full control over sensitive data, or to comply with national data sovereignty requirements, some enterprises are now choosing to deploy AI infrastructure privately. The impetus to do this may be stronger for organizations wishing to train a customized model with their own proprietary data.

Speed – The seamless use of AI services is dependent on the latency of the connection between users and the computing infrastructure which houses the service, as well as interconnectivity between ecosystems. This requirement for low latency will only increase as AI services increasingly evolve from short text-based queries, to audio, image, and video-based services. To achieve low latency, organizations can leverage highly distributed colocation data centers as an option for their AI infrastructure deployment – in locations close to their base of end-users.

Cost – The cost structure of different AI services needs to be considered. Services at an early stage of development, or services which involve limited amounts of data transfer, might be better served by a model sitting in a public cloud and available on-demand.  For mature services involving large amounts of data transfer between users and the model, the running costs of private infrastructure may be lower.

In 2025, we expect to see an increase in the proportion of enterprises deploying private AI infrastructure, which is set to fundamentally transform India’s data center landscape. According to Vertiv’s latest projections, AI workloads will drive unprecedented changes in infrastructure design and operations, with rack densities reaching into three- and four-digit kilowatts. This evolution is already visible in India, where the data center industry is projected to attract $5.7 billion in investments by 2026, primarily driven by AI adoption.

The transformation encompasses three key dimensions. First, infrastructure adaptation – data centers are rapidly implementing advanced cooling solutions like direct-to-chip liquid cooling and immersion technologies, achieving up to 40% improved energy efficiency. With AI workloads demanding significantly higher power densities, data center operators are also upgrading their uninterruptible power supplies and distribution systems to handle fluctuating loads.

Second, the energy equation is becoming critical. Data centers currently consume 1-2% of global power, and is expected to reach 3-4% by 2030. To address this, Indian operators are investing in innovative solutions including microgrids, renewable energy integration, and next-generation battery technologies.

Third, the industry is seeing unprecedented collaboration between chip developers, infrastructure providers, and utilities to create comprehensive roadmaps for AI adoption. These partnerships are not just about technology – they’re about building sustainable, efficient data centers that can support India’s digital transformation while managing environmental impact.

This evolution aligns perfectly with India’s Rs 10,000-crore AI mission and positions the country’s data center industry to support the next wave of AI innovation while balancing growth with sustainability.

Trend 3: Leveraging edge computing to enhance data sovereignty

Governments’ increasing focus on data sovereignty, coupled with the rise of Internet of Things (IoT), generative AI, and real-time applications, necessitates robust IT infrastructure at the edge. Edge computing allows for localized data processing, reducing transfer risks and ensuring compliance with national data sovereignty laws, which vary widely across Asia-Pacific. Enterprise IT leaders increasingly recognize the need for an edge compute strategy: the Gartner® report ‘Building an Edge Computing Strategy’ found that “by year-end 2026, 70% of large enterprises will have a documented strategy for edge computing, compared to fewer than 10% in 2023.”

In the Asia-Pacific region, several countries have begun implementing stringent data sovereignty policies to protect their citizens’ data. In India, the passing of the Digital Personal Data Protection Bill, 2023, marks a significant milestone in the nation’s pursuit of a safer and privacy-focused digital ecosystem. These regulations highlight the need for localized data processing solutions like edge computing to facilitate compliance and secure data handling.

Edge computing services are increasingly relied upon to allow businesses and governments to process data closer to the source, achieving faster response times and improved data security. This localized approach will be essential for complying with data sovereignty regulations, particularly in regions with stringent data protection laws. The surge in AI workloads will drive significant changes in data center design and operations. 40-50% of enterprise data centers to adopt liquid cooling solutions for AI infrastructure and the growing demand for GPU-as-a-Service models, particularly in markets like India where the government’s Rs 10,000-crore AI mission will drive adoption

Trend 4: Advancing business applications with hybrid multicloud

We are seeing many enterprises adopt a hybrid multi-cloud approach, bringing together the agility of multiple public cloud services, with the benefits of private cloud infrastructure. The findings of the sixth annual global Enterprise Cloud Index (ECI) survey by Nutanix showed that hybrid multicloud remains the dominant deployment model in India, with 44% of companies using it, surpassing all other ECI countries surveyed.

Several factors are driving enterprises towards hybrid multicloud solutions, including GPU scarcity, unpredictable cloud costs, the price-to-performance ratio for predictable workloads, and specific use cases that require data to be completely under the customer’s control.

Hybrid multicloud will continue to be the standard for enterprises seeking to optimize their IT infrastructure, balancing the benefits of public and private clouds. Equinix’s global digital infrastructure platform offers high-speed connectivity to an extensive ecosystem of cloud and network providers, enabling seamless integration and efficient data movement. This approach allows businesses to become more agile, adapting to the ever-evolving business environment while maintaining control over their critical workloads.

Trend 5: Strengthening cybersecurity with the growing prowess of AI and quantum

According to the statistical projections by Public Response against Helplessness & Action for Redressal (PRAHAR), cyberattacks on India are projected to rise to a staggering 1 trillion per annum by 2033, reaching 17 trillion by 2047. This projected surge is driven by various factors, including the increasing sophistication of cyberattacks leveraging AI and IoT technologies. According to Gartner, trends such as generative AI, unsecure employee behavior, third-party risks, continuous threat exposure and identity-first approaches are exposing new threats to the cybersecurity landscape. Similarly, the proliferation of IoT devices expands the attack surface, making robust security measures more critical than ever.

Quantum computing will become another key accelerating threat to cybersecurity. It presents serious risks to critical elements of today’s public key infrastructure and is expected to be able to break today’s encryption in minutes. In fact, nation-state actors are already harvesting encrypted sensitive data with the intention to decrypt it later when the technology is available, so-called “harvest now, decrypt later” attacks.

To combat these threats, quantum cryptography and generative AI tools are becoming an essential component of cybersecurity strategies for organizations. For example, Quantum Key Distribution as a Service (QaaS), a cloud service enabling internet access to quantum key distribution technologies, offers robust protection for private enterprise networks, ensuring secure communication and data integrity. The gradual integration of quantum technologies into cybersecurity frameworks will be paramount in protecting data from increasingly advanced cryptographic attacks. Quantum Key Distribution will provide unprecedented levels of security, safeguarding sensitive data against these sophisticated cyber threats.

Equinix supports the quantum leap through partnerships with companies like Quinessence Lab, SK Telecom, Toshiba, and BT. These partnerships provide access to quantum-enhanced cybersecurity solutions for organizations to address “harvest now, decrypt later” attacks, ensuring data remains secure both now and in the future. Enterprises can future-proof for evolving cyber threats by accessing quantum-enhanced cybersecurity solutions that protect critical data assets without the need for large upfront investments.

Stay agile by tapping into digital interconnection services

As we move towards 2025, India is set to experience significant technological advancements. From sustainability, to AI driven infrastructure, edge computing, hybrid multicloud and cybersecurity, these trends will shape the future of the digital landscape.

Moreover, with rising sustainability concerns, it’s increasingly crucial for businesses to adopt these advanced technologies in a manner that minimizes environmental impact. Through sustainably powered data centers worldwide, Equinix supports businesses in reducing their carbon footprint while staying at the forefront of technological innovation. This dual focus on cutting-edge technology and sustainability ensures that enterprises can thrive in a rapidly evolving digital world, while contributing to the protection of the planet.

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