Jabil of the United States and Adani of India Plan Joint Venture to Build Gigawatt-Scale AI Equipment Manufacturing Base

en.Wedoany.com Reported - On October 13, U.S. electronics manufacturer Jabil and India's Adani Enterprises signed a non-binding memorandum of cooperation, planning to establish a 50-50 joint venture in India to build an equipment manufacturing and assembly platform for artificial intelligence and data centers. The project is planned to form multi-gigawatt-scale AI server rack manufacturing capacity, with products covering servers, storage and networking equipment, as well as supporting power distribution and liquid cooling systems. The two parties will use India as the manufacturing base to supply related equipment to domestic and global data center operators.

The proposed joint venture will be responsible for the manufacturing and assembly of AI server racks, servers, storage systems and network communication equipment, while also producing data center supporting equipment such as power distribution units, liquid cooling systems and transformers. The manufacturing platform also plans to provide equipment installation and commissioning services, forming a product system covering computing equipment, power distribution facilities and cooling systems to serve large cloud computing service providers, data center operators and enterprise customers.

According to the manufacturing plan previously announced by both parties, the scope of cooperation includes high-density liquid-cooled server racks, surface mount technology (SMT) electronics manufacturing, complex equipment final assembly, as well as coolant distribution units (CDU), switchgear, busbars and thermal management systems. The multi-gigawatt-scale capacity planned for the manufacturing platform corresponds to the total power of the computing systems that the produced AI racks can support.

The memorandum of cooperation signed this time continues the strategic cooperation plan announced by both parties on June 15. Jabil will provide electronics manufacturing, engineering design, supply chain management and data center equipment integration capabilities, while Adani will use its energy, infrastructure, logistics and data center business resources to participate in the construction of the manufacturing platform. Jabil previously acquired Hanley Energy Group, which is engaged in critical power and energy management business, and Mikros Technologies, which focuses on high-performance computing liquid cooling technology, further expanding its data center power supply and cooling equipment business.

Adani previously committed to investing US$100 billion by 2035 to develop ultra-large-scale AI data centers with a total capacity of 5 gigawatts powered by green energy. The proposed manufacturing joint venture will cover the supply of related computing hardware and infrastructure equipment. Market forecasts published by both parties show that India's total data center capacity is expected to reach 5 to 8 gigawatts by 2030, and large service providers in cloud computing and artificial intelligence plan to invest more than US$50 billion to build data centers and supporting infrastructure.