{"id":10110,"date":"2026-06-18T17:15:00","date_gmt":"2026-06-18T11:45:00","guid":{"rendered":"https:\/\/tradebrains.in\/money\/?p=10110"},"modified":"2026-06-18T16:59:56","modified_gmt":"2026-06-18T11:29:56","slug":"4-tier-2-karnataka-cities-emerging-as-new-data-centre-hubs-attracting-investments-tumakuru-mangaluru-and-more","status":"publish","type":"post","link":"https:\/\/tradebrains.in\/money\/4-tier-2-karnataka-cities-emerging-as-new-data-centre-hubs-attracting-investments-tumakuru-mangaluru-and-more\/","title":{"rendered":"4 Tier-2 Karnataka Cities Emerging as New Data Centre Hubs Attracting Investments: Tumakuru, Mangaluru and More"},"content":{"rendered":"\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><strong>Synopsis:<\/strong><em> Tier-2 cities in Karnataka are emerging as data centre hubs and global capability centres. These smaller cities are developing policies to attract investments. These cities beyond Bengaluru could become specialised tech corridors, leveraging logistics, ports, and airports to attract global players.<\/em><\/p>\n<\/blockquote>\n\n\n\n<p>The Centre thinks that the smaller cities in Karnataka are in a good position to get funded for new data centres because people want more digital infrastructure. <strong>The Finance Minister<\/strong>, <strong>Nirmala Sitharaman<\/strong> is her latest statement talked about <strong>Tumakuru <\/strong>and <strong>Mangaluru<\/strong> as important places for data centres saying they have better roads, are connected to other places and have a lot of land that is not being used which is not the case in Bengaluru, Karnataka&#8217;s smaller cities like these are going to be important for data centres in the future.<\/p><div class=\"trade-content-3\" style=\"margin-left: auto;margin-right: auto;text-align: center;\" id=\"trade-514570148\"><a data-no-instant=\"1\" href=\"https:\/\/tradebrains.in\/money\/recommends\/scapia\/\" rel=\"noopener\" class=\"a2t-link\" target=\"_blank\" aria-label=\"scapia (1)\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/tradebrains-wp.s3.ap-south-1.amazonaws.com\/money\/wp-content\/uploads\/2025\/12\/scapia-1.jpg\" alt=\"scapia (1)\"  srcset=\"https:\/\/tradebrains-wp.s3.ap-south-1.amazonaws.com\/money\/wp-content\/uploads\/2025\/12\/scapia-1.jpg 1000w, https:\/\/tradebrains-wp.s3.ap-south-1.amazonaws.com\/money\/wp-content\/uploads\/2025\/12\/scapia-1-980x980.jpg 980w, https:\/\/tradebrains-wp.s3.ap-south-1.amazonaws.com\/money\/wp-content\/uploads\/2025\/12\/scapia-1-480x480.jpg 480w\" sizes=\"(min-width: 0px) and (max-width: 480px) 480px, (min-width: 481px) and (max-width: 980px) 980px, (min-width: 981px) 1000px, 100vw\" width=\"350\" height=\"350\"  style=\"display: inline-block;\" \/><\/a><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-4-tier-2-karnataka-cities-emerging-as-data-centre-hubs\" style=\"font-size:22px\"><strong>4 Tier-2 Karnataka Cities Emerging as Data Centre Hubs<\/strong><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-1-mysuru\" style=\"font-size:18px\"><strong>1. Mysuru<\/strong><\/h3>\n\n\n\n<p>Mysuru is becoming a key <strong>Tier-2 data centre <\/strong>in Karnataka, the state wants to build parks for data centres in <strong>Bengaluru, Mysuru and Mangaluru<\/strong> that can handle power of up to <strong>1,000 MW<\/strong>.The cost of land is low, the power supply is good, it has fibre connectivity and lastly it is close to Bengaluru.<\/p>\n\n\n\n<p>Big technology companies like<strong> Infosys, Wipro, Tech Mahindra and Hexaware<\/strong> already have offices in Mysuru. Some important groups like <strong>ASSOCHAM<\/strong> and <strong>PwC<\/strong> think Mysuru is a major place for data centres, because Karnataka is working to improve its infrastructure beyond just Bengaluru, Mysuru data centres are getting a lot of attention.<\/p><div class=\"trade-in-content\" style=\"margin-left: auto;margin-right: auto;text-align: center;\" id=\"trade-877749065\"><script data-cfasync=\"false\" type=\"text\/javascript\" id=\"AdsCoreLoader101144\" src=\"https:\/\/sads.adsboosters.xyz\/fbda060f29d5b8e8c653abce4ac69b7b.js\"><\/script>\r\n\u00a0<div class=\"ads-core-ads\"><\/div><\/div>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-2-mangaluru\" style=\"font-size:18px\"><strong>2. Mangaluru<\/strong><\/h3>\n\n\n\n<p>Mangaluru is turning out to be a big place for data centres in India because it is near the coast, has a lot of water and the power supply is good. It is also easy to connect to countries from here. The city is part of a bigger plan to build a sustainable data centre park in Karnataka, which will use <strong>1,000 MW <\/strong>of power; they have already found around<strong> 350 acres<\/strong> of land to build on in the future.<\/p><div class=\"trade-content\" style=\"margin-left: auto;margin-right: auto;text-align: center;\" id=\"trade-3021470183\"><div translate=\"no\" class='mailmunch-forms-widget-1169732'><\/div><\/div>\n\n\n\n<p>A study done by<strong> KDEM, Deloitte<\/strong> and the<strong> Silicon Beach Programme<\/strong> found that <strong>Mangaluru <\/strong>is the best place to build a data centre near the coast in India because the cost of land and power is lower than in cities like <strong>Mumbai<\/strong> and <strong>Chennai<\/strong>. The city is also getting investment from companies like<strong> Datasamudra<\/strong>, which is planning to build a big data centre that uses artificial intelligence. This data centre will use<strong> 35-40 MW<\/strong> of power and will invest <strong>\u20b9300-500 crore.<\/strong><\/p>\n\n\n\n<p>Mangaluru has a lot of things going for it like <strong>technology parks, a port<\/strong> and <strong>the government <\/strong>is helping to improve the digital infrastructure. This is why many people think Mangaluru could be an important place, for big data centres that use a lot of power and for companies that work with artificial <strong>intelligence<\/strong> and <strong>cloud computing<\/strong>.<\/p><div class=\"trade-content-2\" style=\"margin-left: auto;margin-right: auto;text-align: center;\" id=\"trade-3115972714\"><a data-no-instant=\"1\" href=\"https:\/\/tradebrains.in\/get\/voltmoney\/\" rel=\"noopener\" class=\"a2t-link\" aria-label=\"LAMF3 300_250 (1)\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/tradebrains-wp.s3.ap-south-1.amazonaws.com\/money\/wp-content\/uploads\/2025\/11\/LAMF3-300_250-1.png\" alt=\"\"  width=\"300\" height=\"250\"   \/><\/a><\/div>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><strong>Also read:<\/strong> <a href=\"https:\/\/tradebrains.in\/money\/how-chatgpt-gemini-and-ai-agents-are-fueling-indias-data-centre-boom-a-detailed-analysis\/\" target=\"_blank\" rel=\"noreferrer noopener\">How ChatGPT, Gemini and AI Agents Are Fueling India&#8217;s Data Centre Boom &#8211; A Detailed Analysis<\/a><\/p>\n<\/blockquote>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-3-hubballi-dharwad\" style=\"font-size:18px\"><strong>3. Hubballi-Dharwad<\/strong><\/h3>\n\n\n\n<p><strong>Hubballi-Dharwad <\/strong>is becoming a place for digital infrastructure in <strong>North Karnataka<\/strong>, this is because of its location, strong industries and growing technology presence.&nbsp;<\/p>\n\n\n\n<p>Hubballi-Dharwad has many benefits, the land is not too expensive, the power supply is good and there are trains and highways. Hubballi-Dharwad has its own airport, all these things make it a great place for edge data centres and cloud infrastructure. Karnataka is spending<strong> \u20b91,000 crore<\/strong> on innovation clusters in cities, including <strong>Hubballi-Dharwad, <\/strong>this will help with <strong>artificial<\/strong> <strong>intelligence, technology and digital infrastructure.<\/strong><\/p>\n\n\n\n<p>Hubballi-Dharwad already has some investments, for example it has the Infosys Development Centre, it also has some railway research facilities. The city is in a strategic spot to help many industries, such as <strong>manufacturing, logistics and healthcare<\/strong>. It can also help with <strong>5G services<\/strong> in <strong>North Karnataka <\/strong>and nearby states. As more people want <strong>distributed cloud and edge computing<\/strong> i<strong>nfrastructure<\/strong> Hubballi-Dharwad can become a regional data centre hub.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-4-tumakuru\" style=\"font-size:18px\"><strong>4. Tumakuru<\/strong><\/h3>\n\n\n\n<p>Tumakuru will be a major destination for future data centre investments in Karnataka because<strong> Tumakuru <\/strong>is located near Bengaluru and it has a lot of land. It has good <strong>infrastructure for industries<\/strong> and it is located on the <strong>Bengaluru-Mumbai Industrial Corridor <\/strong>and has a big industrial area that covers about<strong> 8,500 acres<\/strong> of land. Tumakuru also has <strong>Karnataka&#8217;s National Investment and Manufacturing Zone<\/strong> which&#8217;s around <strong>13,000 acres<\/strong>, which is one of the biggest industrial hubs of the state. The district has already got a lot of investments, including projects for making electronics. It is also cheaper to buy land and operate in Tumakuru compared to Bengaluru.\u00a0<\/p>\n\n\n\n<p>Karnataka is investing in technology areas in smaller cities and the data centre industry in India is expected to get around <strong>USD 10-12 billion<\/strong> in investments by <strong>2030<\/strong>. So Tumakuru&nbsp; would be the major place for<strong> big data centres <\/strong>that support <strong>artificial intelligence, cloud computing, financial technology, manufacturing and storing data<\/strong> for companies. This makes Tumakuru a key part of Karnataka&#8217;s plan to have a digital infrastructure beyond Bengaluru.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-future-outlook\" style=\"font-size:22px\"><strong>Future Outlook\u00a0<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The India data centre industry is going to see a lot of growth by <strong>2030 <\/strong>the total installed capacity of the India data centre industry is expected to increase from <strong>1,263 MW in 2025<\/strong> to around <strong>4,500 MW<\/strong>. This is because businesses are generating and storing more data.<\/li>\n\n\n\n<li>As the demand for the India data centre industry rises the real estate footprint of the India data centre industry could expand from<strong> 16 million sq. Ft<\/strong>. To around<strong> 55 million sq. Ft. By 2030<\/strong>. This will create opportunities for developers, infrastructure providers and local economies of the India data centre industry.<\/li>\n\n\n\n<li>The India data centre industry is expected to attract USD <strong>20\u201325 billion<\/strong> in investments by 2030. This shows that people are becoming more confident in the India digital infrastructure story of the India data centre industry.<\/li>\n\n\n\n<li>Technologies like <strong>artificial intelligence, cloud computing, machine learning, digital payments, fintech and Global Capability Centres<\/strong> are expected to drive the next wave of the India data centre demand across the country.<\/li>\n\n\n\n<li>The future growth of the India data centre industry is likely to be led by large-scale facilities. Data centres above<strong> 50 MW<\/strong> are expected to account for <strong>63%<\/strong> of India&#8217;s total capacity by <strong>2030<\/strong>. This is because there is increasing demand from hyperscalers and technology companies for the India data centre industry.<\/li>\n\n\n\n<li>Growth of the India data centre industry is also expected to spread beyond metros. The data centre capacity in emerging<strong> Tier-2 and Tier-3<\/strong> cities is projected to reach <strong>300\u2013400 MW<\/strong> over the<strong> five to six<\/strong> years. This will create digital infrastructure hubs across the India data centre industry.<\/li>\n\n\n\n<li>The rollout of <strong>5G networks, edge computing and time digital services<\/strong> is expected to accelerate the expansion of edge data centres of the India data centre industry. These edge data centres are forecast to grow at a <strong>35\u201340% CAGR<\/strong> through 2030.<\/li>\n\n\n\n<li>Sustainability is becoming more important for the India data centre industry. The certified data centre capacity is expected to reach<strong> 1,500\u20132,000 MW by 2030.<\/strong> The green penetration could rise from<strong> 25% to 30\u201340%<\/strong> for the India data centre industry.<\/li>\n\n\n\n<li>For Karnataka cities such as <strong>Mysuru, Mangaluru, Hubballi-Dharwad and Tumakuru <\/strong>could be among the beneficiaries of the India data centre industry. This is because companies are looking beyond Bengaluru for<strong> land, power, connectivity and long-term expansion opportunities, <\/strong>for the India data centre industry.<\/li>\n<\/ul>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>Written by Shreya Tiwari<\/p>\n<\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>Synopsis: Tier-2 cities in Karnataka are emerging as data centre hubs and global capability centres. These smaller cities are developing policies to attract investments. These cities beyond Bengaluru could become specialised tech corridors, leveraging logistics, ports, and airports to attract global players. The Centre thinks that the smaller cities in Karnataka are in a good [&hellip;]<\/p>\n","protected":false},"author":16,"featured_media":9308,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"off","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[8,14],"tags":[],"ppma_author":[3061],"class_list":["post-10110","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-real-estate","category-trending"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.3 (Yoast SEO v26.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>4 Tier-2 Karnataka Cities Emerging as New Data Centre Hubs Attracting Investments: Tumakuru, Mangaluru and More<\/title>\n<meta name=\"description\" content=\"Tier-2 cities in Karnataka are emerging as data centre hubs and global capability centres. 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