I agree, it is not impossible, but you need to be really focused. Also if you want to grow organically from a small hosting to one that can built a datacenter, it can't be done in a year or two, you are talking about a decade or two. A long and tedious road ahead.....
Really? Buiding a datacenter leads to having low operation cost and can provide cheap hosting to clients. If you're targetting webmasters at dp, you might take a decade or long. But with a datacenter you can target corporates and expand faster. There is no rule for growth, you can reach a large base with quality support and service at cheap price. After a year, your clients would be marketing you for it. Heck, you can give cheap offer to exisiting hosting companies and make them host with you Regards, Richie.
Did you happen to contact BSNL? I guess you might need the leased lined services and BSNL pricing would be the cheapest compared to other private ISPs. By the way, how is the power stability in your area? If there is frequent disconnection then it might be very expensive for you.