India's Adani Group has struck a partnership with US-based manufacturing services firm Jabil to produce equipment for artificial intelligence data centers inside the country. The deal, announced Wednesday, marks a push by the conglomerate to tap into the fast-growing AI infrastructure market while bringing more high-tech manufacturing to India.
What the partnership covers
Under the arrangement, Adani will work with Jabil to make components and systems for AI data centers. The exact product range hasn't been detailed, but the companies said the focus is on equipment that supports the heavy computing demands of AI workloads. Jabil, a Fortune 500 company headquartered in Florida, operates dozens of factories globally and has a large presence in Asia. The partnership gives Adani access to Jabil's manufacturing expertise and supply chain know-how.
The move aligns with the Indian government's broader push to turn the country into a hub for AI development and data center services. Reliance on imported gear has been a concern for local operators, and this partnership could reduce that dependency. Adani already has data center projects underway in several Indian states. Adding on-site manufacturing of critical equipment shortens supply lines and could lower costs over time. The deal also creates a new manufacturing base for Jabil in a market where labor and land costs are competitive.
Who's involved
Adani Group is a sprawling Indian conglomerate with interests ranging from ports and energy to media and data centers. Its data center arm, AdaniConneX, is a joint venture with EdgeConneX — a US data center developer that itself is owned by a private equity firm. Jabil brings decades of experience building electronics and industrial equipment for major tech companies. The partnership is between the broader Adani Group and Jabil, not specifically through AdaniConneX, though the AI data center gear will likely feed into Adani's data center projects.
Next steps
The companies said they'll work together on setting up production lines in India, but they didn't disclose a timeline for when the first equipment will roll out. Financial terms of the deal were also kept private. More details could emerge as the partnership moves from announcement to execution. For now, it's one of the bigger manufacturing tie-ups in India's AI infrastructure space this year.
