Larsen & Toubro (L&T) has announced a partnership with NVIDIA to develop an AI infrastructure project in India, which is set to become the country’s largest gigawatt-scale AI data centre.

The proposed initiative was revealed at the India AI Summit under the IndiaAI Mission, with plans to provide scalable, production-grade AI capabilities based in India.

The collaboration combines L&T’s expertise in engineering and infrastructure with NVIDIA’s computing hardware, networking solutions, storage platforms, and AI software stack.

The factory will support the deployment of high-density computing platforms to manage large-scale AI workloads across key sectors, such as manufacturing, energy, financial services, healthcare, infrastructure, and public services.

The venture aims to build sovereign AI infrastructure that retains data, models and workloads within India while maintaining compatibility with global systems.

This setup targets domestic enterprises and international clients, including hyperscalers and cloud providers seeking to expand their AI capacity in India.

Development plans include scaling NVIDIA GPU clusters at L&T’s Chennai campus up to 30 megawatts (MW) and further installation at a new 40MW facility in Mumbai.

The infrastructure intends to enable predictable performance and security for enterprise use cases by providing standardised AI-ready capacity for next-generation applications.

L&T chairman and managing director S N Subrahmanyan said: “The investment establishes the foundation — secure, scalable, and sovereign infrastructure — required to power manufacturing, energy, financial services, healthcare and public services.

“With NVIDIA’s platforms and L&T’s execution strength, we are building infrastructure that will enable AI to deliver measurable economic impact.”

The announcement also stated that the venture will allow L&T Group companies to deploy operational AI agents on Sovereign Cloud platforms.

These systems are expected to enhance industrial operations through frameworks such as LTTS’s Lights-Out Factory utilising NVIDIA Omniverse technology, alongside other internal deployments involving agentic AI.

NVIDIA founder and CEO Jensen Huang said: “Together with L&T — an 88-year-old engineering and nation-building leader — we are laying the foundation for world-class AI infrastructure that will power India’s growth and help realise the full vision of India AI.”

This initiative aligns with the IndiaAI Mission’s objective of developing self-sufficient national capabilities in artificial intelligence while positioning India as a strategic hub for global AI services.

The venture aims to establish AI factories at a national scale with sovereign infrastructure, designed for accelerated computing to address both domestic and international AI requirements, in alignment with the objectives of the IndiaAI Mission.