Larsen & Toubro (L&T) and NVIDIA officially announced a landmark partnership to build what they are calling India’s largest “Gigawatt-scale AI Factory.” Unveiled at the India AI Impact Summit 2026 in New Delhi, this “sovereign by-design” infrastructure is a direct response to the government’s IndiaAI Mission.
The venture aims to transition Indian industries from experimental AI pilots to production-scale deployment by providing the massive compute power required for sovereign models and industrial automation.
The Architecture: A Sovereign AI Fabric
The project focuses on building a unified, high-density AI infrastructure that keeps critical national data and models within Indian borders while remaining interoperable with the global ecosystem.
- Full-Stack Integration: L&T is integrating its engineering and data center expertise with NVIDIA’s complete AI stack, including Blackwell GPUs, CPUs, networking, and the NVIDIA AI Enterprise software suite.
- “Sovereign by Design”: The infrastructure ensures that data, AI models, and mission-critical workloads are built, trained, and hosted entirely within India to comply with national security and data localization mandates.
- AI Agents: The partnership will enable L&T and its group companies to deploy live AI agents for industrial use cases, such as “Lights-Out” factories (autonomous manufacturing) and agentic financial services.
Infrastructure & Deployment Roadmap
L&T plans to leverage its existing large-scale campuses to create these AI factories, focusing on two key hubs:
| Location | Initial Capacity | Scale & Status |
| Chennai (Kanchipuram) | 30 MW | Scaling within a 300-acre Gigawatt-scalable campus. |
| Mumbai (Mahape) | 40 MW | New data center currently under execution. |
| Total Vision | Gigawatt-scale | A long-term roadmap to reach GW-level capacity across multiple sites. |
Strategic Industry Impact
L&T and NVIDIA are targeting six “priority sectors” where this infrastructure will drive measurable economic impact:
- Manufacturing: Implementing NVIDIA Omniverse for digital twins and autonomous robotic “Lights-Out” operations.
- Financial Services: Deploying Agentic AI through L&T Finance (LTFS) for automated credit and risk assessment.
- Energy: Optimizing smart grids and predictive maintenance for large-scale utility projects.
- Infrastructure: Using AI-driven design and simulation for massive EPC (Engineering, Procurement, and Construction) projects.
- Healthcare & Public Services: Hosting sovereign models for population-scale health diagnostics and citizen services.
“India’s enterprises are ready to move from AI pilots to production-scale deployment… We are building the foundation required to power manufacturing, energy, and public services with measurable economic impact.” — S. N. Subrahmanyan, Chairman & Managing Director, L&T.
