India data centre operator Web Werks said it has entered into a Memorandum of Understanding (MoU) with the Government of Karnataka to build a 20MW facility in Whitefield, Bengaluru.

The project is set to amass ₹750 crore (around US$105 million) in capital investment and will span across 125,000 sq ft.

Local authorities are set to help with pushing the development of the site by facilitating required permissions, registrations, approvals, and clearances through a single-window clearance.

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Nikhil Rathi, CEO of Web Werks, said: “Digital transformation in India continues to accelerate with support from the Government’s ‘Digital India’ programme. Web Werks’ Bengaluru data centre will cater to the increasing demand from hyperscalers like Amazon, Microsoft, Google; and Enterprises.

“We look forward to providing our new customers in South India with highly reliable and scalable solutions combining hosted infrastructure, cloud on-ramp, network and security.

“The addition of this data centre is part of our national expansion and we are extremely happy and grateful to the Government of Karnataka for their support.”

Web Werks currently serves over 850 clients from 225,000 sq ft built across three data centre sites in India in Mumbai, Pune and Delhi-NCR and a further six points-of-presence.

Last February, the company landed a $150 million (around ₹1,086 crore) investment from data storage management firm Iron Mountain (NYSE: IRM) through a joint venture (JV) between the two parties.

The company said the investment will allow itself to grow in its existing markets of Delhi NCR, Pune and Mumbai as well as expand into Hyderabad, Chennai and Bengaluru as announced today.

According to JLL, India’s colocation data centre market size is expected to grow from 375 MW in H1 2020 to 1,078 MW by 2025, registering a CAGR of 21%. Mumbai and Pune alone have a combined projected MW of built-out critical IT load capacity growth to reach over 470 MW by 2025.