By FMTeam India’s data center industry is expanding rapidly as artificial intelligence, cloud computing, digital payments, online services and data-localisation requirements increase demand for computing infrastructure.
India’s installed colocation capacity is expected to reach approximately 1.7 GW by the end of 2026, compared with around 1.5 GW at the end of 2025. However, listed data center stocks follow different business models. Some own data centers, while others provide cloud computing, networking, power infrastructure or construction services.
The following companies were selected using their FY26 performance, operational capacity, expansion pipeline and direct exposure to data center demand.
| Company | Data Center Business Profile | FY26 Revenue | Main Growth Catalyst | Investment Profile |
| Bharti Airtel | Data center operator through Nxtra | ₹2,10,973 crore | Nxtra expansion towards 1 GW | Large and financially stable |
| Anant Raj | Colocation and sovereign cloud services | ₹2,511.60 crore | Ashok Cloud demerger and capacity expansion | Direct high-growth exposure |
| Black Box | Data center infrastructure integration | ₹6,322 crore | Hyperscaler and enterprise projects | Global infrastructure play |
| Techno Electric | Hyperscale and edge data centers | ₹3,252.5 crore* | 250 MW digital infrastructure plan | Emerging asset-owner opportunity |
| E2E Networks | AI cloud and GPU infrastructure | ₹245.6 crore | GPU capacity and IndiaAI demand | High-growth, higher-risk play |
*Techno Electric’s figure represents standalone revenue from operations.
1. Bharti Airtel
Best for: Large-scale and relatively stable data center exposure
- FY26 consolidated revenue: ₹2,10,973 crore
- Nxtra FY26 revenue: Approximately ₹2,434 crore
- Nxtra network: More than 120 locations
- Hyperscale facilities: 15
- Current total power capacity: More than 230 MW
Bharti Airtel provides data center exposure through its subsidiary Nxtra Data Limited. Nxtra offers colocation, managed hosting, connectivity, disaster recovery and edge-computing services across major Indian markets.
Nxtra’s FY26 revenue increased from approximately ₹2,079 crore to ₹2,434 crore. Its connection with Airtel’s fibre, mobile, submarine cable and enterprise networks gives it a major competitive advantage.
Key Growth Catalyst: Expansion Towards 1 GW
In March 2026, Airtel announced a $1 billion investment in Nxtra involving Alpha Wave Global, Carlyle, Anchorage Capital and Airtel itself. The company plans to scale Nxtra’s capacity towards 1 GW over the coming years.
Advantage: Strong balance sheet, national connectivity and an established enterprise customer base.
Limitation: Nxtra remains only one part of Bharti Airtel’s much larger telecommunications business.
2. Anant Raj
Best for: Direct exposure to data centers, cloud services and rapid capacity expansion
- FY26 revenue from operations: ₹2,511.60 crore
- Data center and allied revenue: ₹176.49 crore
- Operational IT load: 28 MW
- FY28 capacity target: 117 MW
- Long-term capacity target: 357 MW by FY32
Anant Raj currently operates 21 MW of IT load at Manesar and 7 MW at Panchkula. It provides colocation and infrastructure-as-a-service through its cloud business.
The company is planning additional capacity at Manesar, Rai and Andhra Pradesh. It has also partnered with Submer to develop liquid-cooled, AI-ready data center infrastructure.
Key Growth Catalyst: Proposed Ashok Cloud Demerger
In July 2026, Anant Raj’s board approved a proposed restructuring under which its data center and cloud operations would be separated into Ashok Cloud, an independently listed company.
The scheme remains subject to regulatory and other required approvals. Once completed, it may allow investors to value the digital infrastructure business separately from Anant Raj’s real estate operations.
Advantage: Rapid capacity expansion provides significant long-term revenue potential.
Limitation: Current data center revenue remains small compared with planned capacity, creating execution and funding risks.
3. Black Box
Best for: Global data center construction, networking and integration exposure
- FY26 revenue: ₹6,322 crore
- FY26 EBITDA: ₹570 crore
- FY26 profit after tax: ₹218 crore
- Order bookings: More than $1 billion
- Closing order backlog: Approximately $792 million
Black Box does not mainly own data center properties. It designs, installs and manages digital infrastructure for enterprises and hyperscale data center operators.
Its services include networking, structured cabling, systems integration, cybersecurity and managed infrastructure. During FY26, it secured a data center services engagement worth approximately $75 million from a global hyperscaler, along with another contract worth around $31 million.
Key Growth Catalyst: AI Infrastructure Spending
As AI data centers require high-density connectivity and specialised infrastructure, Black Box may benefit without assuming the complete financial burden of owning large facilities.
Advantage: Strong global customer relationships and a rising project backlog provide revenue visibility.
Limitation: Much of its business is international, exposing earnings to currency movements and overseas technology spending.
4. Techno Electric and Engineering
Best for: Emerging exposure to hyperscale and edge data center ownership
- FY26 standalone revenue: ₹3,252.5 crore
- FY26 standalone profit after tax: ₹516.8 crore
- Total order book: Approximately ₹9,566.5 crore
- Chennai data center capacity: 36 MW
- Long-term data center target: 250 MW
Techno Electric is moving beyond its traditional power-infrastructure business through Techno Digital. It is developing hyperscale campuses and a nationwide network of smaller edge data centers.
Its Chennai campus has 36 MW of capacity. The company is also developing 16 MW in Noida and 12 MW in Kolkata, while planning 102 interconnected edge facilities across India.
Key Growth Catalyst: Power and Data Center Integration
Reliable electricity is one of the largest challenges in data center development. Techno Electric’s experience in substations and transmission systems may help it construct and operate power-intensive facilities efficiently.
Advantage: Power-engineering expertise and a large project order book support its digital infrastructure plans.
Limitation: Its owned data center business is still at an early stage and requires substantial capital expenditure.
5. E2E Networks
Best for: Direct exposure to AI cloud and GPU computing
- FY26 operational revenue: ₹245.6 crore
- FY26 EBITDA: ₹126.3 crore
- FY26 EBITDA margin:4%
- FY26 net loss: ₹15.6 crore
- Cloud GPU capacity: Approximately 5,050 GPUs
E2E Networks provides cloud computing and GPU infrastructure through data centers in Delhi NCR and Tamil Nadu. Its TIR platform helps businesses and research organisations develop, train and deploy artificial intelligence models.
FY26 operational revenue increased by approximately 50%. However, the company reported a net loss because major GPU investments resulted in substantially higher depreciation expenses.
Key Growth Catalyst: Sovereign AI Infrastructure
E2E has expanded its NVIDIA GPU capacity and received work under the IndiaAI Mission. Demand for locally hosted computing may support future utilisation and revenue growth.
Advantage: It provides one of the most direct listed exposures to GPU-based cloud infrastructure.
Limitation: Heavy capital expenditure, rapid hardware obsolescence and uncertain GPU utilisation make it a higher-risk stock.
Key Risks for Investors
Data center stocks face several important risks:
- High capital expenditure: Large campuses require heavy spending on land, power, cooling and servers.
- Power availability: Grid delays and rising electricity costs can slow projects.
- Technology changes: GPU and cooling technologies can become outdated quickly.
- Low utilisation: New facilities may take time to attract customers and reach profitable occupancy.
- Debt pressure: Capacity expansion can substantially increase borrowings.
- High valuations: Share prices may already reflect several years of expected growth.
Bharti Airtel offers scale and financial stability through Nxtra. Anant Raj provides more direct capacity-expansion exposure, while Black Box benefits from global infrastructure spending. Techno Electric is building an integrated hyperscale and edge platform, and E2E Networks offers higher-risk exposure to AI cloud computing.
Investors should examine data center revenue, operational capacity, utilisation, debt and capital expenditure before investing. This article is for informational purposes and should not be treated as investment advice.