L&T, NVIDIA announce sovereign AI factory venture under India AI Mission

Larsen & Toubro (L&T) on Tuesday announced a proposed venture under the India AI Mission to build sovereign, scalable gigawatt (GW)-scale NVIDIA AI factory infrastructure, marking a significant step toward strengthening India’s position as a global AI powerhouse. The announcement was made at the India AI Summit, where industry leaders and policymakers outlined the next phase of India’s AI-led digital and industrial transformation.

The proposed venture is aimed at India’s enterprises, policymakers, industry leaders, global off-takers, and analysts seeking production-grade AI capacity anchored within the country. By combining L&T’s engineering, infrastructure development, and execution capabilities with NVIDIA’s full-stack AI infrastructure, the initiative is designed to move AI adoption in India from experimentation to large-scale, production-ready deployment.

Under the partnership, L&T will integrate NVIDIA’s AI platforms, including GPUs, CPUs, networking solutions, NVIDIA-accelerated storage platforms from leading providers, the NVIDIA AI Enterprise software stack, and reference architectures. Together, these components will support rapid, secure, and scalable AI adoption across priority sectors. The venture will deploy AI-ready data centre infrastructure, advanced computing platforms, and ecosystem enablement required to support high-density AI workloads at scale.

Aligned with the objectives of the IndiaAI Mission, the initiative seeks to create sovereign AI infrastructure that allows critical data, AI models, and workloads to be built, trained, and deployed entirely within India, while remaining interoperable with global AI ecosystems. This “sovereign-by-design” architecture is intended to serve domestic requirements while also supporting global hyperscalers, cloud service providers, and enterprises looking to deploy large-scale AI capacity from India as a strategic hub.

Commenting on the announcement, S. N. Subrahmanyan, Chairman and Managing Director of L&T, said India’s enterprises are now ready to move from AI pilots to production-scale deployment. “The investment establishes the foundation—secure, scalable, and sovereign infrastructure—required to power manufacturing, energy, financial services, healthcare, and public services,” he said, adding that the partnership aims to deliver measurable economic impact.

NVIDIA Founder and CEO Jensen Huang said AI is driving the largest infrastructure buildout in history. Highlighting India’s strategic role, he said: "Prime Minister Modi has outlined a bold vision to democratize AI access across the Global South and position India as a global hub for digital infrastructure. Together with L&T, we are laying the foundation for world-class AI infrastructure that will power India’s growth and help realize the full vision of India AI.” 

AI data centre factory 

A key pillar of the plan is the development of a gigawatt-scale AI data centre factory that will provide AI-ready capacity for next-generation workloads. This approach is expected to enable customers to scale operations in India efficiently and sustainably. As part of the initial rollout, the venture plans to scale NVIDIA GPU cluster deployment at L&T’s Chennai data centre up to 30 MW within its 300-acre, gigawatt-scalable campus, along with deployment at a new 40 MW data centre in Mumbai that is currently under execution.

The AI factory model will deliver advanced AI services to global off-takers, hyperscalers, and India Inc across sectors such as manufacturing, infrastructure, energy, financial services, healthcare, and public services. By offering standardized, enterprise-grade AI capabilities, the model aims to ensure predictable performance, robust security, and faster time-to-value for both industrial and services use cases.

The initiative will also enable L&T and its group companies to deploy live AI agents on a sovereign cloud. This includes use cases such as LTTS’s Lights-Out Factory framework leveraging NVIDIA Omniverse libraries, LTM’s Blueverse platform, LTFS’s agentic AI deployments, and L&T’s internally developed AI agents, fostering a self-sustaining innovation ecosystem.