Google is on the brink of making a significant stride in India’s digital landscape by acquiring a 22.5-acre land parcel in Navi Mumbai's Juinagar, marking its first venture into building a captive data centre in the country.

What Happened: According to an Economic Times report, the land, currently under the scrutiny of Google for its suitability, is part of the Maharashtra Industrial Development Corporation (MIDC) and was formerly associated with Herdillia Chemicals. Now, it’s in the hands of Pune’s Gramercy Trade Industries. The estimated cost of this venture hovers around ₹850 crore, considering the property rates and MIDC’s transfer charges.

Sources close to the deal suggest that it’s nearing completion, with plans for the data centre to support a couple of hundred megawatts of capacity potentially, thanks to the expansive nature of the plot. This development is a first for Google, which has previously leased spaces for its data operations but is now moving to establish its own.

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Why it matters: The backdrop to this strategic move is a broader trend where tech behemoths like Google, Microsoft, and Amazon are diving deep into India’s data centre market. Post-pandemic digital boom fuels this push, positioning India as a critical node in the global digital network thanks to its strategic location, robust submarine cable links, and burgeoning digital consumer base.

Rising digital consumption in India, driven by 5G, online streaming, gaming, and a government committed to data localization, makes the country a magnet for data centre investment and expansion. This environment attracts global players to establish operations and meet the immense local and global demand for digital services.

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