Pranav Hotkar
Mumbai, India - May 14, 2026 - The Maharashtra government has signed a memorandum of understanding worth INR 1.14 lakh crore with AM Intelligence Labs Pvt. Ltd. to develop a large-scale green data center park and AI compute hub in the Mumbai Metropolitan Region, marking one of India’s biggest AI infrastructure investments to date.
According to state officials, the project will establish a 500MW integrated AI and digital infrastructure campus powered entirely by renewable energy. The development is expected to generate around 8,000 direct and indirect jobs, alongside approximately 2,000 additional construction-related employment opportunities during the buildout phase.
The agreement was signed in the presence of Maharashtra Chief Minister Devendra Fadnavis, who has been aggressively positioning the state as a national hub for artificial intelligence, hyperscale infrastructure, and digital technology investment. Officials said the initiative aligns with Maharashtra’s broader strategy to attract high-density AI infrastructure projects under the state’s Information Technology Policy 2023 and Green Integrated Data Centre Park Policy 2024.
The project will be executed in two phases. The first phase will deliver 200MW of capacity by 2028, while the remaining 300MW is targeted for completion by 2030. Once operational, the facility is expected to deploy approximately 250,000 high-performance AI chipsets, positioning it among India’s largest planned AI compute clusters.
Industry observers view the development as part of India’s accelerating push toward sovereign AI infrastructure and localized compute capacity. The growing adoption of generative AI, cloud services, and large language models has significantly increased demand for GPU-intensive infrastructure, leading states and private operators to rapidly expand their investments in hyperscale data centers.
The announcement comes just days after Maharashtra unveiled its first dedicated AI policy, which aims to attract more than INR 10,000 crore in AI-related investments over the next five years and create approximately 150,000 jobs by 2031. The policy includes incentives for GPU infrastructure, AI research hubs, startup ecosystems, and compute-as-a-service platforms.
Officials stated that the AM Intelligence Labs project will support Maharashtra’s ambition to become a leading destination for AI and digital infrastructure, not only within India but also across the broader Asia-Pacific region. The renewable-energy-powered campus is also expected to strengthen the state’s sustainability positioning as AI infrastructure operators face increasing scrutiny over electricity consumption and environmental impact.
India’s data center market has expanded rapidly over the past two years, fueled by AI adoption, cloud growth, digital payments, and data localization requirements. Major infrastructure operators, including AdaniConneX, Reliance, Yotta, CtrlS, STT GDC India, and Nxtra, have all announced large-scale AI-focused expansions across Mumbai, Chennai, Hyderabad, and Noida.
Analysts increasingly view access to renewable power and large-scale grid connectivity as becoming critical differentiators in the AI infrastructure sector, where next-generation GPU deployments require significantly higher power densities than traditional enterprise data centers. The Maharashtra project reflects how state governments are now competing aggressively to attract AI infrastructure investments tied to long-term digital economy growth.
