Intel Capital has invested $8.8m (£5.7m) in an Indian data centre start-up called NxtGen Datacenter & Cloud Technologies.

The Bangalore-based IT infrastructure services provider operates high-density data centre facilities for customers in India and the Middle East but soon hopes to enter the South East Asia market.

NxtGen Datacenter CEO AS Rajgopal said the funding will be used to finish a large high-density data centre that is being built in Bangalore and should be operational by March next year.

“Our centrally managed, hybrid data center solutions offer customers reliable, secure and efficient IT infrastructure that helps companies optimise their central IT platforms and meet dynamic business demands,” said Rajgopal.

NxtGen claims the facility will be the first Indian data centre designed specifically for the cloud, and has secured 20MW for the Tier II site that will offer 12KVA per rack, according to Datacenter Dynamics, a publication covering the industry.

India is not renowned for its power infrastructure, but the facility is being built close to large power sources.

The funding will also go towards funding the further development of existing facilities.

Intel Capital president Arvind Sodhani said India is “at the forefront” of cloud computing and data infrastructure services.

“Intel Capital has a long history in India and we’re proud of our strategic role in helping entrepreneurs here grow locally and scale globally,” he said.

He said the investment will also give the start-up access to Intel’s global network, brand capital and technology expertise.

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