Meta signs India’s first AI data center deal with Reliance

As technology companies race to secure the computing power needed to train and deploy AI systems, Meta is making its first bet on AI infrastructure in India, striking a data center partnership with conglomerate Reliance Industries in a market that is rapidly emerging as a hub for AI infrastructure.

The partnership, announced on Wednesday, will see Meta collaborate with Reliance on a 168 MW AI-powered data center in Jamnagar, Gujarat, expanding a relationship that has evolved from Meta’s multi-billion dollar investment in Reliance’s Jio platforms to a $100 million joint venture launched last year to develop enterprise AI solutions for customers in India and overseas markets.

The deal comes as India consolidates its position as a natural destination for AI infrastructure investments, with technology giants looking for new geographies for data centers amid growing demand for computing power to train and deploy AI models. Companies including Microsoft, Amazon, Google, OpenAI and Uber have recently announced investments in artificial intelligence and cloud infrastructure in the country, rapidly scaling their data centers in recent years.

The push into India extends beyond global technology companies. Earlier this week, Blackstone-backed AirTrunk announced plans to invest $30 billion to build 5 gigawatts of data center capacity in the country by 2030, while Indian conglomerates including Adani and Tata Consultancy Services also unveiled major data center expansion plans aimed at supporting AI workloads.

New Delhi has sought to attract such investments through political incentives, including tax breaks until 2047 for foreign cloud providers on services sold abroad, as long as such workloads are run from Indian data centers.

India’s installed data center capacity rose from about 375 megawatts in 2020 to about 1.5 gigawatts in 2025, according to government data. Industry estimates suggest this number could grow more than five-fold to more than 8 gigawatts by the end of the decade, driven by cloud adoption, AI workloads, and increased demand for on-premises data processing.

The Meta-Reliance agreement marks the latest chapter in a relationship that has steadily deepened since Meta invested $5.7 billion in Jio Platforms in 2020. Since then, the two companies have expanded their collaboration across digital services, enterprise AI, and now the infrastructure that supports next-generation AI systems.

As part of the partnership, Meta is leasing capacity at Reliance’s new Jamnagar facility, which the companies said will be powered by renewable energy and cooled using desalinated seawater. Meta has committed to covering the full cost of the energy and water needed to support its operations there.

Reliance said the 168 MW facility would be ready within two years and could be expanded over time. Furthermore, the data center will also support Meta’s global infrastructure and AI computing requirements, connecting India more directly to the company’s global network of AI facilities.

Under the agreement, Reliance said it will offer end-to-end services ranging from design and construction to renewable energy, connectivity and continuous operations, a sign of the group’s ambitions to become a one-stop-shop for AI infrastructure among global technology companies.

Separately, Meta said it has contracted approximately 1 GW of new renewable energy capacity in India through agreements with CleanMax and Fourth Partner Energy, which will complement the renewable energy supporting the Jamnagar facility.

The companies did not disclose the value of the agreement, the type of AI workloads that will be run from the facility, or whether Meta is planning additional investments in AI infrastructure in India.