The Hiranandani Group will sign an MoU with the UP government for around Rs 39,000 to build six data centres, the group’s managing director Niranjan Hirandandani said.
The Yotta Group, a subsidiary of the Hiranandani group, launched the first data centre in Noida. The group’s MD on Monday spoke to CNBC-TV18 about the capital required for these data centres as well as their ambitions to expand further.
“We are signing a memorandum of understanding (MoU) with the UP government that calls for around Rs 39,000 crore in investments over the next five to seven years, which translates to six data centres, which is our target,” Hiranandani informed.
Hiranandani disclosed that the construction for the first data centre required an investment of about Rs 1500 crore. A further Rs 5,000 crore would be needed for equipment and other items. The first of the six buildings they intend to construct over the next five to seven years will thus have received investments totaling around Rs 6,500 crore by the end of the following year.
“The amount of capital investments that will remain in each of these locations over time will be decided based on how big these locations expand. But certainly we look to the growth story,” he added.
When questioned about how this may differentiate the firm in terms of services, given that there are already other real estate industry leaders operating in the data or data storage sectors, he said, “Since 2012, we have been constructing data centres. We had previously built six data centres in the preceding 10 years, so we have experience in that industry.”
He added that now more people are entering the business. “We have shifted the scale such that we will, individually and as a business, offer the highest quality services in addition to the data centre rather than merely building them for the benefit of other locators,” he said.
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