Princeton Digital Group invests $1B in India data centers for AI

Princeton Digital Group (PDG) is expanding India’s AI-ready data center infrastructure through a $1 billion investment program, aiming to significantly increase capacity in Mumbai and Chennai. This expansion is set to support the rapidly growing demand for hyperscale cloud services and artificial intelligence workloads.

The investment is part of PDG’s broader $5 billion Asia expansion strategy. The company planned to expand its MU1 campus in Mumbai to 150 MW and develop CH1, a new 72 MW AI-ready campus in Chennai. The first phase of the Mumbai expansion was scheduled for delivery in 2026.

PDG's investment reflects the increasing strategic importance of India within the Asia-Pacific data center ecosystem. Both Mumbai and Chennai offer advantages such as proximity to submarine cable landing points, established power infrastructure, and availability of renewable energy.

The development also highlights a broader shift in data center requirements, with traditional enterprise facilities increasingly being supplemented by hyperscale and AI-oriented infrastructure capable of supporting higher rack densities and advanced cooling needs. DataM Intelligence estimates the global AI data center market will reach approximately $1,020.83 billion by 2035, with Asia-Pacific identified as the fastest-growing region.