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Indian conglomerate Adani Group has partnered with US-based manufacturing company Jabil Inc to build vertically-integrated AI and data centre infrastructure in India. 

The two companies intend to set up multi-gigawatt manufacturing capacity in India for high-density AI racks. They will produce AI-ready hardware such as liquid-cooled AI racks, servers, storage units, and networking systems to serve the needs of global hyperscalers and enterprise data centers. 

Beyond computing hardware, the platform plans to manufacture supporting infrastructure components, including power distribution units, coolant distribution units, transformers, switchgears, and advanced thermal management systems.

The companies are currently finalising operational frameworks and formal documentation to execute the manufacturing roadmap, with no definitive timeline announced. 

The partnership with Jabil is in line with Adani Group’s bid to double down on AI. In February, Adani announced one of the world’s largest integrated energy-compute commitments with a direct investment of $100 Bn to develop renewable-energy-powered, hyperscale AI-ready data centres by 2035. 

Later, the Adani Group was said to be exploring partnerships with Meta, Google among others, to set up data centres in the country. 

To note, the conglomerate has also tied up with Uber to set up its first data centre in India, which would become operational later this year. 

The Adani-Jabil partnership comes at a time when the global market opportunity for AI compute infrastructure is projected to zoom past the $3 Tn mark over the next seven years. India’s data centre capacity is projected to reach 5-8 GW by 2030, driven by growing AI demand, cloud expansion, and data localisation requirements. 

Notably, India’s technology supply chains are increasingly shifting toward domestic manufacturing, given the focus on data sovereignty and the requirements of the DPDP Act. 

Along with the Adani Group, companies like Reliance Industries and Amazon are also betting on capturing this momentum.

For instance, Reliance announced a partnership with Meta last week that would see the oil-to-telecom conglomerate set up a 168 MW AI-enabled data centre in Gujarat’s Jamnagar, powered by sustainable energy, within two years. 

Amazon has committed an investment of $12.7 Bn towards cloud infrastructure in India by 2030, while OpenAI is planning to set up a 1 GW data centre in India in partnership with TCS.

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