Adani Enterprises And Jabil Target $3 Trillion AI Infrastructure Opportunity In India

Adani Enterprises and Jabil Inc. have announced plans to form a strategic alliance to build a vertically integrated AI and data centre infrastructure manufacturing platform in India.

The proposed alliance combines Jabil's manufacturing and engineering capabilities with Adani Group's infrastructure, logistics, renewable energy and data centre businesses.

The companies said the platform is intended to address growing demand for AI-ready data centre hardware in India and overseas markets. It will focus on manufacturing AI racks, servers, storage systems, networking equipment and supporting infrastructure used in large-scale data centre deployments.

The companies see a sizeable opportunity ahead. Investments linked to AI infrastructure are expected to exceed $3 trillion globally over the next seven years. They also expect the project to support India's ambitions of becoming a larger manufacturing and export base for AI hardware.

What Will The Adani-Jabil Manufacturing Platform Produce?

The proposed facility will focus on equipment used in AI computing and data centre projects across India and international markets.

One of its key focus areas will be giga-scale AI rack manufacturing. The companies plan to develop multi-gigawatt manufacturing capacity for high-density AI racks used by hyperscalers, colocation providers and enterprise data centres.

The platform will manufacture next-generation liquid-cooled AI racks, servers, storage systems and networking equipment using advanced surface-mount technology and complex box-build processes.

The manufacturing platform is expected to cater to global hyperscalers, colocation operators and enterprise data centre customers that are expanding AI computing capacity.

The alliance also intends to build a broader AI infrastructure ecosystem covering both white-space and grey-space equipment used inside data centres.

This includes Power Distribution Units (PDUs), Coolant Distribution Units (CDUs), transformers, switchgears, bus bars and thermal-management systems.

The two sides are currently working on operational frameworks and final documentation required to move the project forward.

Why Are Adani And Jabil Betting On India's Data Centre Market?

Industry estimates cited by the company project domestic data centre capacity could reach between 5 GW and 8 GW by 2030, supported by rising AI adoption, cloud investments and data localisation requirements.

The companies also pointed to more than $50 billion of planned investments by global hyperscalers across India's data centre, cloud and AI ecosystems. Policy support is another factor behind the initiative.

According to the statement, provisions under the Digital Personal Data Protection Act are increasing demand for locally manufactured technology infrastructure. The policy environment has also turned more favourable for the sector. The government has also extended tax incentives for the sector. Under Union Budget 2026, data centres will remain eligible for a tax holiday until 2047.

The announcement comes alongside Adani Group's own expansion plans. The group has earmarked $100 billion to build 5 GW of AI-ready data centre capacity powered by green energy by 2035.

India is becoming a bigger market for AI infrastructure, and Jabil is looking to be part of that growth. The company reported revenue of $29.8 billion in fiscal 2025. In recent years, it has also added companies such as Hanley Energy Group and Mikros Technologies to expand its capabilities.

How Does The Alliance Fit Into India's 'Make In India' Push?

The companies described the initiative as a step toward making India a major manufacturing and export hub for AI hardware.

Adani Group Chairman Gautam Adani said the partnership is intended to help build a complete AI infrastructure stack in India, spanning energy generation and hardware manufacturing.

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Jabil CEO Mike Dastoor said the collaboration combines the company's engineering and manufacturing expertise with Adani's infrastructure and energy capabilities to serve hyperscalers and enterprise customers in India and global markets.

The companies have not disclosed financial terms of the proposed alliance. However, they said discussions are underway to finalise the operational and documentation framework needed to execute the manufacturing roadmap.

Source:

Adani Enterprises media release