Adani Group Pledges $100B for AI Data Centers

This massive capital injection is expected to catalyze an additional $150 billion in investments across the ecosystem, covering everything from server manufacturing to sovereign cloud platforms. The goal is to create a $250 billion AI infrastructure ecosystem in India over the next decade. The plan will expand the data center capacity of AdaniConneX, a joint venture with EdgeConneX, from 2 GW to 5 GW. This expansion includes new hyperscale campuses in Visakhapatnam, Noida, Hyderabad, and Pune. These projects build on existing partnerships with Google and Microsoft. A key part of the strategy is vertical integration, with Adani's own renewable energy arm powering the data centers. The 30 GW Khavda renewable energy park in Gujarat, which already has over 10 GW operational, will be a primary power source. The company is also investing an additional $55 billion to expand its renewable portfolio, including large-scale battery storage systems. This move taps into India's rapidly growing data center market, which was valued at over $8.94 billion in 2025 and is projected to reach over $31 billion by 2035. The country's data center capacity is expected to more than double from 950 MW to over 2000 MW by 2027. This growth is fueled by increasing data consumption, with over 700 million active internet users in India. The Indian government is actively encouraging this growth through policies that provide infrastructure status to data centers, enabling easier access to financing. Several states, including Maharashtra, Uttar Pradesh, and Tamil Nadu, have introduced their own data center policies with incentives like subsidies and streamlined approval processes. Adani's plan includes reserving GPU capacity for Indian AI startups and research institutions. The initiative also aims to establish AI engineering curricula and research labs to address the local skills gap. This aligns with the government's push for "sovereign AI" capabilities and reducing reliance on foreign cloud infrastructure. The new facilities will be designed for high-density, AI-specific workloads, incorporating advanced liquid cooling and energy-efficient power systems. This is crucial as data centers are projected to consume 3-5% of India's total grid load by 2030. This investment intensifies competition in the Indian market, where other major players like Reliance Jio are also making significant moves. Reliance Jio has partnered with Meta and Google to develop AI platforms and announced plans for its own gigawatt-scale data center.