Adani Enterprises, Jabil sign MoU for 50:50 JV to manufacture AI, data centre hardware

Adani Enterprises Ltd on Tuesday (October 13) said the company and Jabil Inc. have signed a non-binding memorandum of understanding (MoU) to establish a 50:50 joint venture (JV) to manufacture and assemble artificial intelligence (AI) and data centre equipment in India, with plans to build a multi-gigawatt AI infrastructure platform.

The proposed venture would manufacture AI racks, servers, storage and networking equipment, along with power distribution units, liquid-cooling systems and transformers.

It would cater to data centre operators, hyperscalers, neoclouds and enterprises in India and global markets. The proposed JV is subject to the execution of definitive agreements, applicable approvals and customary conditions.

JV to manufacture AI racks, servers and cooling systems

The venture is expected to have multi-gigawatt AI rack manufacturing capacity, supporting computing systems with a combined power capacity of several gigawatts. It would also provide installation and commissioning services.

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The equipment portfolio would include racks housing high-performance computing systems used for AI applications and other digital services, as well as the power and cooling infrastructure required to operate them. The companies said the proposed JV would establish a manufacturing base in India to serve domestic demand and support exports, with products intended for India and global markets.

India's data centre capacity seen at 5–8 GW by 2030

India's data centre capacity is projected to reach 5–8 gigawatts (GW) by 2030, driven by AI adoption, cloud expansion and data localisation. Planned hyperscaler spending across data centre, cloud and AI ecosystems is expected to exceed $50 billion.

The companies estimate the global market opportunity at more than $3 trillion over the next seven years, driven by investment in AI computing infrastructure. The proposed JV follows the Adani Group and Jabil's June 2026 announcement of their intention to establish a strategic alliance to develop an AI and data centre infrastructure manufacturing ecosystem in India.

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Gautam Adani, Chairman, Adani Group, said, "The AI revolution will demand far more than just breakthroughs in algorithms. It will require an entirely new industrial architecture where energy, hyperscale infrastructure, advanced computing and precision manufacturing converge to power the intelligence economy.

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.

Our proposed joint venture with Jabil marks a strategic step towards this future, combining Jabil’s world-class engineering and manufacturing capabilities with Adani’s integrated strengths in energy, infrastructure and data centres to help build the physical backbone of the global AI economy."

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The venture is aligned with Adani Group’s $100 billion commitment to develop 5 GW of green-energy-powered, hyperscale AI-ready data centres by 2035. The proposed venture would add hardware manufacturing to the Group’s presence across infrastructure, energy, logistics and data centres.

For Jabil, which reported $36 billion in revenue in fiscal year 2026, the venture would expand its engineering and manufacturing footprint in India’s data centre market.

The company has also expanded its data centre capabilities through the acquisition 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.

Mike Dastoor, Chief Executive Officer (CEO), Jabil Inc., said, "The signing of this MoU is the next step forward in our shared efforts to establish a scaled AI infrastructure manufacturing platform in India, a market we believe will become increasingly important for both 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. We look forward to building on the work we started together in June."

Shares of Adani Enterprises Limited ended at ₹2,694.00, up by ₹63.00, or 2.39%, on the BSE.

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