India’s digital infrastructure is under serious threat. A new global report shows that many of the country’s key data centres—essential for banking, healthcare, logistics and cloud services, face rising risks due to extreme weather linked to climate change.
The report, released by the Cross Dependency Initiative (XDI), analysed nearly 9,000 data centres worldwide. It ranked locations based on their exposure to hazards such as floods, tropical cyclones, forest fires, and coastal inundation.
India’s Data Centres Face Climate Threat
India features prominently in the high-risk list. Five Indian states, Uttar Pradesh, Tamil Nadu, Maharashtra, Karnataka and Telangana, rank among the world’s 100 most climate-exposed data centre hubs.
Dr Karl Mallon, founder of XDI, said, “Data centres are the silent engine of the global economy. But as extreme weather becomes more frequent and severe, they are increasingly exposed.”
XDI’s report shows that the risk of damage to India’s data centre infrastructure from climate change almost triples by the end of the century. Without physical adaptation or reduced emissions, costs and service disruptions are likely to rise sharply.
Uttar Pradesh is second on the global risk list. Of its 21 data centres, over 60% are already considered high-risk. “The numbers are alarming,” said Mallon. “This isn’t a future problem—it’s a now problem.”
In Maharashtra, which holds the highest number of data centres in India, risk is climbing. The state ranks 48th globally. By 2050, 5.71% of its centres could face severe threats. Chennai in Tamil Nadu faces similar concerns. The report says over 10% of its data centres are already high-risk, and more than two-thirds face moderate risk. Tamil Nadu ranks 25th globally.
India’s Data Boom Faces Climate Test
These projections matter. Major global players, such as Amazon Web Services, Google, and Microsoft, are pouring money into cloud infrastructure across Mumbai, Bengaluru, Chennai, and Hyderabad. Domestic firms are also expanding rapidly, backed by government incentives.
But this rapid growth is not matched by climate readiness.
“Expanding data infrastructure in areas highly exposed to climate hazards, without adaptation, is risky business,” said Dr Mallon. “Insurance may become unaffordable, or unavailable altogether, for some of these centres.”
XDI warns that insurance costs for data centres could triple or even quadruple by 2050. Yet it also shows that targeted physical upgrades can dramatically reduce risk. This includes improved cooling systems, flood defences, and better site planning.
The report also calls out the importance of wider infrastructure—like power, water, and transport—that support data centres. Even if the data centre itself is hardened, a failed road or disrupted power line could still bring operations to a halt.
The Asia-Pacific region, including India, is both the fastest-growing and one of the most vulnerable zones for data centres. Already, more than 1 in 10 centres here are high-risk. That number will rise further without adaptation.
Top Data Centre Hubs Ranked by Physical Climate Risk in 2050
| Rank | Country | State/Province | Data Centres Analysed | % High Risk | % Moderate Risk | % Increase in Risk (2025–2100) |
|---|---|---|---|---|---|---|
| 1 | China | Jiangsu | 25 | 64.00% | 32.00% | 701% |
| 2 | India | Uttar Pradesh | 21 | 61.90% | 9.52% | 111% |
| 3 | Germany | Hamburg | 24 | 58.33% | 0.00% | 607% |
| 4 | China | Shanghai | 51 | 49.02% | 49.02% | 778% |
| 5 | Russia | Moskva | 20 | 30.00% | 0.00% | 152% |
| 6 | China | Guangdong | 54 | 27.78% | 70.37% | 863% |
| 7 | Japan | Tokyo | 57 | 26.32% | 57.89% | 400% |
| 8 | Thailand | Bangkok | 26 | 23.08% | 76.92% | 480% |
| 9 | China | Hong Kong | 89 | 20.22% | 79.78% | 261% |
| 10 | Denmark | Hovedstaden | 25 | 20.00% | 8.00% | 1000% |
| 11 | United States | New Jersey | 71 | 19.72% | 19.72% | 1000% |
| 12 | United States | Massachusetts | 49 | 18.37% | 4.08% | 917% |
| 13 | United States | Oregon | 124 | 17.74% | 10.48% | 35% |
| 14 | United States | Michigan | 48 | 16.67% | 2.08% | 103% |
| 15 | Chile | Santiago | 49 | 16.33% | 83.67% | 17% |
| 16 | Australia | Queensland | 27 | 14.81% | 37.04% | 624% |
| 17 | Netherlands | Noord-Brabant | 23 | 13.04% | 0.00% | 328% |
| 18 | United States | Connecticut | 56 | 12.50% | 7.14% | 247% |
| 19 | Indonesia | Jawa Barat | 33 | 12.12% | 21.21% | 112% |
| 20 | Indonesia | Jakarta Raya | 42 | 11.90% | 11.90% | 272% |
| 21 | United States | Kentucky | 35 | 11.43% | 17.14% | 110% |
| 22 | Canada | British Columbia | 36 | 11.11% | 11.11% | 296% |
| 23 | Brazil | São Paulo | 73 | 10.96% | 8.22% | 71% |
| 24 | United States | New York | 114 | 10.53% | 10.53% | 624% |
| 25 | India | Tamil Nadu | 29 | 10.34% | 68.97% | 180% |
| 26 | Canada | Ontario | 99 | 10.10% | 2.02% | 64% |
| 27 | Netherlands | Noord-Holland | 80 | 10.00% | 5.00% | 49% |
| 28 | Canada | Alberta | 20 | 10.00% | 0.00% | 49% |
| 29 | France | Grand Est | 20 | 10.00% | 0.00% | 66% |
India is expected to add 10 million square feet of data centre space in the coming years, attracting $5.7 billion in investment. But as this boom continues, operators must weigh climate risks carefully.
“India is investing in its digital future,” said Mallon. “But unless climate resilience is built into that future, much of that investment is at risk.”
The report stresses that both adaptation and emissions cuts are critical. Physical upgrades help in the short term. But only a broader move to reduce climate change itself will offer long-term protection.
The message is clear: climate threats are growing. And India’s digital infrastructure is in the firing line.
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