Why Jabil and Adani Are Building AI Infrastructure in India

The global AI data centre buildout is creating demand far beyond power and fibre.

Every new facility requires vast quantities of servers, cooling systems, power equipment and networking hardware.

As demand for AI infrastructure accelerates, operators must secure access to these systems at unprecedented scale.

Seeking to capitalise on that opportunity, India’s Adani Group and manufacturing specialist Jabil have unveiled plans for a strategic alliance focused on creating a vertically integrated AI and data centre infrastructure manufacturing platform in India.

The proposed partnership brings together two organisations with complementary ambitions.

Adani contributes a rapidly expanding data centre footprint, extensive logistics capabilities and a large renewable energy portfolio.

Jabil, meanwhile, brings more than six decades of engineering and manufacturing expertise, including experience supporting hyperscale data centre deployments around the world.

The goal is fairly straightforward: to manufacture the hardware underpinning next-generation AI facilities while serving both domestic and international demand.

Building the hardware behind AI data centres

According to the companies, the venture intends to establish multi-gigawatt manufacturing capacity for high-density AI racks in India.

Production would encompass liquid-cooled AI systems, servers, storage platforms and networking equipment, using advanced surface mount technology and complex integration processes.

Under the alliance, manufacturing would extend beyond computing hardware into critical facility infrastructure.

Plans include production of Power Distribution Units, Coolant Distribution Units, transformers, switchgear, busbars and thermal management systems.

These products would support both white space and grey space environments, enabling a more comprehensive supply chain for data centre developers.

Explaining the rationale behind the initiative, Gautam Adani, Chairman of Adani Group, said: "The world is entering an Intelligence Revolution more profound than any previous Industrial Revolution.

"Nations that master the symmetry between energy and compute will shape the next decade.

"India is uniquely positioned to lead.

Our alliance with Jabil represents a decisive step in building India's complete AI infrastructure stack – from green power generation to world-class hardware manufacturing.

"Together, we will ensure India is not merely a consumer in the AI age, but a creator, builder, and exporter of intelligence."

India's expanding data centre opportunity

The announcement comes as India's data centre market enters a period of rapid expansion.

Industry forecasts cited by the companies suggest national capacity could reach between 5GW and 8GW by 2030.

Growth is being driven by rising cloud adoption, increasing AI deployment and data localisation requirements.

Global hyperscalers are also continuing to increase investment in Indian digital infrastructure, creating demand not only for new facilities but also for the equipment required to operate them.

The manufacturing initiative aligns with Adani's wider strategy already underway. The conglomerate has previously committed US$100bn towards infrastructure development and plans to build 5GW of green-energy-powered, AI-ready data centre capacity by 2035.

The proposed alliance could therefore strengthen Adani's position across multiple layers of the data centre value chain, from energy generation and facility development through to infrastructure manufacturing.

Creating an end-to-end supply chain

For Jabil, the partnership represents an opportunity to extend its role within the global AI infrastructure market.

The company reported revenue of US$29.8bn in fiscal year 2025 and has continued expanding its capabilities through infrastructure investments and acquisitions focused on power management and thermal technologies.

Commenting on the agreement, Mike Dastoor, CEO of Jabil, said: "This strategic collaboration with Adani Group is another step forward in our efforts to create long-term value for customers throughout the AI ecosystem by offering scalable solutions across the product lifecycle.

"By combining Jabil's more than sixty years of engineering expertise and advanced manufacturing capabilities with Adani's formidable infrastructure and energy platform, we can expect to execute down to the rack level for hyperscalers and enterprises here in India and across the globe.

"As India becomes one of the world's fastest-growing AI markets, the country's skilled workforce and supportive business environment make it an attractive destination for this collaboration."

The two companies are now working on operational frameworks and formal agreements for the venture.