Adani Group Pledges $100B for Green AI Data Centers
India's Adani Group announced it will invest $100 billion by 2035 to build AI data center infrastructure powered by renewable energy. The conglomerate's investment is expected to catalyze an additional $150 billion in related investments into the sector. This move positions the company at the intersection of green energy and the growing global demand for AI compute capacity.
- The investment will be channeled through AdaniConnex, a 50:50 joint venture with US-based data center operator EdgeConneX, and aims to expand the company's data center capacity from 2 gigawatts (GW) to 5 GW. - To power this expansion, Adani Green Energy will utilize its 30 GW renewable energy project in Khavda, Gujarat, of which more than 10 GW is already operational. The company has also committed an additional $55 billion to grow its renewable portfolio, including large-scale battery storage systems. - This initiative is part of a larger vision to build a complete five-layer AI stack to ensure India's "technological sovereignty," according to Gautam Adani, chairman of the Adani Group. The goal is for India to be a creator and exporter of intelligence, not just a consumer. - The project includes strategic partnerships with major technology firms, such as a collaboration with Google to develop a gigawatt-scale AI data center campus in Visakhapatnam and projects with Microsoft in Hyderabad and Pune. - A significant portion of the GPU capacity across the new data centers will be allocated to Indian AI startups and research institutions to address domestic compute shortages and support local innovation. - The data centers will feature advanced liquid cooling and high-efficiency power design to handle the demands of high-density AI workloads and will reserve capacity for Indian large language models. - This investment occurs as India's data center market is projected to grow significantly, with some analysts forecasting the market size to reach $13.11 billion by 2034, up from $5.55 billion in 2025. Another report projects the market to reach $27.2 billion by 2032. - The plan involves co-investing in domestic manufacturing for critical infrastructure components like transformers and inverters to secure the supply chain for the massive build-out.
