Adani joins hands with US firm Jabil to manufacture AI hardware in India
India's data centre capacity is projected to reach 5-8 gigawatts by 2030, driven by AI adoption, cloud expansion and data localisation
- Oct 13, 2026,
- Updated Oct 13, 2026 6:09 PM IST
Adani Enterprises, the flagship company of the Adani Group, and US-based Jabil have signed a non-binding agreement to set up a 50:50 joint venture to manufacture and assemble artificial intelligence and data centre equipment in India.
The proposed venture is subject to definitive agreements, regulatory approvals and other customary conditions, the companies said.
The agreement follows their June 2026 announcement of plans to build an AI and data centre infrastructure manufacturing ecosystem in India.
The venture would manufacture AI racks, servers, storage and networking equipment used in data centres. Its product range would also include power distribution units, liquid-cooling systems and transformers needed to operate high-performance computing systems.
The companies expect the venture to have multi-gigawatt AI rack manufacturing capacity. It would also provide installation and commissioning services.
Adani looks to move up the AI value chain
Gautam Adani, chairman of the Adani Group, said the AI boom would require more than advances in algorithms, with energy, computing, infrastructure and manufacturing playing a critical role.
"At Adani, our vision is to expand up the AI value chain evolving from powering and hosting AI infrastructure to engineering and manufacturing the critical systems that will define the next generation of computing," he said.
Adani said the proposed partnership would combine Jabil's engineering and manufacturing capabilities with the group's strengths in energy, infrastructure and data centres.
Jabil chief executive Mike Dastoor said India would become increasingly important for domestic and global AI infrastructure demand. "Integrating Jabil’s 60 years of engineering and manufacturing expertise with Adani’s significant infrastructure and energy capabilities, we can bring our rack-level data centre solutions to more hyperscalers in India and around the world," he said.
India's data centre opportunity
India's data centre capacity is projected to reach 5-8 gigawatts by 2030, driven by AI adoption, cloud expansion and data localisation.
The companies estimate the global market opportunity at more than $3 trillion over the next seven years, driven by investment in AI computing. The proposed manufacturing base in India would serve domestic demand and support exports.
The venture also aligns with Adani Group's commitment to invest $100 billion in developing 5 GW of green-energy-powered, hyperscale AI-ready data centres by 2035. The proposed partnership would add hardware manufacturing to the group's existing presence in energy, infrastructure, logistics and data centres.
India's Digital Personal Data Protection Act, 2023, provides a framework for personal data protection. A tax holiday for data centres until 2047, announced in the Union Budget 2026, is also expected to support investment in domestic data infrastructure.
Jabil reported $36 billion in revenue in fiscal 2026. The company has expanded its data centre capabilities through acquisitions of Hanley Energy Group, which provides critical power and energy management solutions, and Mikros Technologies, which specialises in liquid-cooling solutions for high-performance computing systems.
Adani Enterprises, the flagship company of the Adani Group, and US-based Jabil have signed a non-binding agreement to set up a 50:50 joint venture to manufacture and assemble artificial intelligence and data centre equipment in India.
The proposed venture is subject to definitive agreements, regulatory approvals and other customary conditions, the companies said.
The agreement follows their June 2026 announcement of plans to build an AI and data centre infrastructure manufacturing ecosystem in India.
The venture would manufacture AI racks, servers, storage and networking equipment used in data centres. Its product range would also include power distribution units, liquid-cooling systems and transformers needed to operate high-performance computing systems.
The companies expect the venture to have multi-gigawatt AI rack manufacturing capacity. It would also provide installation and commissioning services.
Adani looks to move up the AI value chain
Gautam Adani, chairman of the Adani Group, said the AI boom would require more than advances in algorithms, with energy, computing, infrastructure and manufacturing playing a critical role.
"At Adani, our vision is to expand up the AI value chain evolving from powering and hosting AI infrastructure to engineering and manufacturing the critical systems that will define the next generation of computing," he said.
Adani said the proposed partnership would combine Jabil's engineering and manufacturing capabilities with the group's strengths in energy, infrastructure and data centres.
Jabil chief executive Mike Dastoor said India would become increasingly important for domestic and global AI infrastructure demand. "Integrating Jabil’s 60 years of engineering and manufacturing expertise with Adani’s significant infrastructure and energy capabilities, we can bring our rack-level data centre solutions to more hyperscalers in India and around the world," he said.
India's data centre opportunity
India's data centre capacity is projected to reach 5-8 gigawatts by 2030, driven by AI adoption, cloud expansion and data localisation.
The companies estimate the global market opportunity at more than $3 trillion over the next seven years, driven by investment in AI computing. The proposed manufacturing base in India would serve domestic demand and support exports.
The venture also aligns with Adani Group's commitment to invest $100 billion in developing 5 GW of green-energy-powered, hyperscale AI-ready data centres by 2035. The proposed partnership would add hardware manufacturing to the group's existing presence in energy, infrastructure, logistics and data centres.
India's Digital Personal Data Protection Act, 2023, provides a framework for personal data protection. A tax holiday for data centres until 2047, announced in the Union Budget 2026, is also expected to support investment in domestic data infrastructure.
Jabil reported $36 billion in revenue in fiscal 2026. The company has expanded its data centre capabilities through acquisitions of Hanley Energy Group, which provides critical power and energy management solutions, and Mikros Technologies, which specialises in liquid-cooling solutions for high-performance computing systems.