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India’s growing network of data centres is quietly becoming the backbone of its digital economy—powering everything from streaming platforms to AI tools. As these hubs expand, they’re driving a parallel surge in demand for tech services such as cybersecurity, cloud migration, and AI-driven automation. With digital infrastructure now critical to business, industry estimates suggest tech service revenue could rise by 20% over the next 3 to 5 years.

As businesses, governments and startups move more of their operations online, the domestic market is set to reap the rewards. The rapid rise of Tier II and Tier III cities as new digital hubs further widens this opportunity. As per the Nasscom Data Centre Survey 2025, almost half of the demand will come from three key areas—cybersecurity, cloud services, and infrastructure solutions like power and cooling.

With data centres managing massive volumes of sensitive information, cybersecurity—especially protection from breaches and ransomware—has become the top priority, according to the report.

Additionally, Cloud services come a close second, enabling businesses to scale seamlessly across hybrid and multi-cloud environments. Power and cooling solutions—critical for handling AI-heavy workloads—are also climbing the demand charts. Together, these areas account for almost half of the new service opportunities.

Roles like cybersecurity experts, AI/ML engineers, cloud infrastructure specialists, and data centre technicians are already in short supply, and the demand curve is only pointing upward. Every new megawatt of data centre capacity could create more than 2,000 jobs.

But here’s the catch: no single player can do this alone. Data centre operators bring the infrastructure muscle, while tech service providers bring the intelligence. The impact happens when they collaborate—through strategic alliances for AI-ready centres, managed service models, or joint ventures. These partnerships enable each side to leverage its strengths while delivering future-ready solutions. 

However, these are not without challenges. Partnerships between data centres and tech service providers face key hurdles: limited expertise, data security risks, and insufficient specialised solutions.

The future of data centres and tech services lies in closer collaboration. As AI, edge computing and energy-efficient models take hold, operators and tech firms will need to build tailored solutions together. Key focus areas will include cloud migration, hybrid systems and automation—driven by practical use of data centre infrastructure.