Meta has signed its first artificial intelligence data center agreement in India, partnering with Reliance Industries to build a 168-megawatt AI-enabled facility in Jamnagar, Gujarat. The deal, announced Wednesday, marks a deepening of a relationship that began with Meta’s $5.7 billion investment in Reliance’s Jio Platforms in 2020 and has since expanded into enterprise AI and now critical infrastructure.
A strategic expansion into India’s AI infrastructure market
The partnership comes as India rapidly cements its position as a global hub for AI infrastructure investments. Tech giants including Microsoft, Amazon, Google, OpenAI, and Uber have recently announced significant AI and cloud infrastructure projects in the country, drawn by policy incentives, growing digital demand, and a favorable business environment. India’s installed data center capacity has surged from about 375 megawatts in 2020 to approximately 1.5 gigawatts in 2025, according to government data. Industry estimates project that figure could exceed 8 gigawatts by the end of the decade, driven by cloud adoption, AI workloads, and rising demand for local data processing.
New Delhi has actively courted such investments through tax exemptions through 2047 for foreign cloud providers on services sold overseas, provided those workloads are run from Indian data centers. This policy has made India an attractive destination for global technology companies seeking to diversify their infrastructure footprint beyond traditional markets.
Details of the Meta-Reliance agreement
Under the agreement, Meta will lease capacity at Reliance’s new Jamnagar facility, which the companies say will be powered by renewable energy and cooled using desalinated seawater. Meta has committed to covering the entire cost of the energy and water required to support its operations there. Reliance said the 168-megawatt facility will be ready within two years and can be expanded over time. The data center will also support Meta’s global infrastructure and AI computing requirements, integrating India more directly into the company’s worldwide network of AI facilities.
Reliance will provide end-to-end services ranging from design and construction to renewable power, connectivity, and ongoing operations, signaling the conglomerate’s ambitions to become a comprehensive provider of AI infrastructure for global technology companies.
Separately, Meta said it has contracted nearly 1 gigawatt of new renewable energy capacity in India through agreements with CleanMax and Fourth Partner Energy, which will supplement the renewable power supporting the Jamnagar facility.
Why this matters for India and the global AI race
The Meta-Reliance deal is significant for several reasons. First, it represents a major vote of confidence in India’s ability to host sophisticated AI workloads, which require reliable power, low latency, and advanced cooling systems. Second, it deepens the strategic partnership between two of the world’s largest technology and conglomerate players, potentially paving the way for further collaboration in areas such as AI model training, enterprise solutions, and digital services.
For India, the deal underscores the country’s emergence as a critical node in the global AI infrastructure network. The rush into India extends beyond global technology firms. 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 have also unveiled major data center expansion plans aimed at supporting AI workloads.
The companies did not disclose the value of the agreement, the type of AI workloads that will run from the facility, or whether Meta plans additional AI infrastructure investments in India.
Conclusion
Meta’s first AI data center deal in India with Reliance Industries marks a strategic milestone for both companies and for India’s growing role in the global AI infrastructure landscape. As demand for computing power to train and deploy AI models continues to soar, partnerships like this will likely become more common, reshaping the geography of AI infrastructure investments worldwide.
FAQs
Q1: What is the capacity of the Meta-Reliance data center in Jamnagar?
The facility is designed with a capacity of 168 megawatts and can be expanded over time. It will be powered by renewable energy and cooled using desalinated seawater.
Q2: Why is India attractive for AI data center investments?
India offers policy incentives such as tax exemptions through 2047 for foreign cloud providers, growing digital demand, a large talent pool, and a favorable business environment. Its installed data center capacity has grown significantly from about 375 megawatts in 2020 to around 1.5 gigawatts in 2025.
Q3: What other companies are investing in AI infrastructure in India?
Microsoft, Amazon, Google, OpenAI, Uber, Blackstone-backed AirTrunk, Adani Group, and Tata Consultancy Services have all announced major AI and cloud infrastructure investments in India recently.
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