The organisation had leased 360,000 sq ft amidst the pandemic at the imminent Noida IT Park being built by realty major DLF.

The real estate major stated that the facility construction is on, and they would hand over the building by December this year. STT GDC India has commenced the back end work of the new greenfield data centre facility, STT Noida DC-1, as part of its multi megawatt capacity expansion project over India.

Phase one of this facility is anticipated to be achieved by the second quarter of 2022 and will provide up to 18 MW of critical IT load. It will be among the largest data centres in northern India. The project will add up to 35 MW of critical IT load to STT GDC India’s total IT capacity.

Sumit Mukhija, CEO at STT GDC India, told the media that the STT Noida facility, once completely developed, can help up to 35 MW IT power capacity spread over five acres of land. Their decision to expand in Noida is influenced by the continuing rapid growth in the Indian data centre industry, helping the massive digital transformation that India is experiencing.

The facility will be developed in two phases and assist both enterprises and hyperscale customers to future-proof their expansion alternatives in the northern region.

Mukhija said that the promise of Noida emerging as a new data centre hub is well supported by progressive policy impetus at both the central and state governments.

The data centre colocation market in India is poised to expand rapidly and reach more than 1,000 MW in operational capacity by 2025.

At the current pace, STT GDC India expects to double the capacity every three to four years in the coming 10 years.

Recently, Japanese technology firm NTT Ltd has procured six acres in Greater Noida to establish a data centre with an investment of 1,000 crore.

As per the Greater Noida Authority, the plan is to develop a region into a data centre hub. This was the second transaction after Mumbai-based Hiranandani Group's Yotta Infrastructure stated it would set up a 20 acre data centre park in Greater Noida with an investment of Rs 7,000 crore.

The Uttar Pradesh government is also forming a policy to bring data centre builders to Noida, attempting to draw investments away from preferred destinations such as Bengaluru, Chennai, Mumbai and Hyderabad.

In a bid to be cost-competitive, the policy will comprise advantages such as approval to develop without underground parking and an uninterrupted power supply.

Jones Lang LaSalle, in a report, in September, stated that India's data centre capacity estimated in terms of power load is anticipated to approximately triple to 1,078 MW by 2025 from 375 MW in H1 2020, offering a $4.9 billion investment opportunity.

JLL said that Chennai and Mumbai will account for a 70% share of the capacity additions.