Zerodha co-founder Nikhil Kamath and entrepreneur Sreeram Reddy Vanga have together invested ₹250 crore in CtrlS Datacenters, backing the Indian hyperscale data-centre operator as demand for artificial intelligence, cloud computing and digital workloads accelerates across the country. Kamath has invested ₹200 crore, while Vanga has contributed ₹50 crore.
The fresh capital will be used to support CtrlS’s infrastructure expansion and capacity build-out across India, with a particular focus on meeting growing requirements from enterprises and hyperscalers. The investment comes at a time when the rapid adoption of AI applications is increasing demand for high-capacity computing infrastructure and specialised data-centre facilities.
Founded by Sridhar Pinnapureddy, CtrlS has established a sizeable presence in India’s digital infrastructure market. The company operates 19 data centres across nine key markets, with more than 370 MW of operational capacity, while projects totalling around 4.4 GW are at various stages of development and execution.
The investment highlights the increasing interest of private investors in India’s data-centre sector, which is being driven by the expansion of cloud services, AI workloads, digital platforms and data-intensive enterprise applications. As computing requirements grow, operators are required to continuously add power capacity, server infrastructure, cooling systems and network connectivity.
For CtrlS, the funding provides additional financial capacity to accelerate its expansion programme and strengthen its position in the hyperscale market. The company serves enterprises, cloud providers, financial institutions and government organisations, making its infrastructure an important component of India’s wider digital ecosystem.
Kamath said the investment reflects his view that major technology shifts such as AI, cloud computing and digital public infrastructure will depend heavily on physical data-centre infrastructure. He noted that India is at a stage where inadequate digital infrastructure could become a constraint on technological growth. Vanga similarly highlighted the need for world-class digital infrastructure at scale to support India’s AI and cloud ambitions. His investment alongside Kamath brings additional private capital into a sector that requires substantial long-term investment to build and operate.
The development also reflects the changing nature of India’s infrastructure requirements. Data centres are becoming increasingly important infrastructure assets, alongside traditional sectors such as roads, railways, ports and power. Their expansion requires coordinated investment in electricity supply, renewable energy, transmission networks, fibre connectivity, land and cooling infrastructure.
The growth of AI is expected to further increase these requirements because AI workloads can demand significantly greater computing power and energy than conventional digital applications. This is pushing data-centre operators to plan larger facilities and higher-density computing environments.
For India’s digital economy, the investment therefore represents more than a corporate funding transaction. It signals continued confidence in the country’s AI and cloud infrastructure opportunity, while strengthening the capital base available for expanding the physical infrastructure required to support the next phase of digital growth.
