Adani Group has started work on the redevelopment project of Dharavi, one of Asia's largest slums. This project plans to build new housing for local residents while ensuring the preservation of their jobs.
Concurrently, Adani Group has begun expanding into the artificial intelligence (AI) and data center sector. To achieve this, the group has entered into an agreement with the American company Jabil Inc.
Adani Enterprises Limited and the American electronics manufacturer Jabil Inc. signed a Memorandum of Understanding (MoU) to create a joint venture with equal 50:50 stakes. This joint venture will be responsible for manufacturing in India equipment required for use in the AI and data center fields. The process of obtaining necessary permits to finalize this agreement has already begun.
Under the proposed joint venture, Adani and Jabil will manufacture and assemble data center equipment in India, including AI racks, servers, data storage systems, and networking equipment. Furthermore, components such as power distribution units, liquid cooling systems, and transformers will be part of the scope of work. The company will also provide installation and commissioning services for this equipment.
The goal of this partnership is to localize the production of such equipment in India to meet growing domestic demand and ensure supplies to other markets. Both companies anticipate developing the potential to create AI racks with capacities of several gigawatts.
The increasing use of AI in India, the expansion of cloud services, and the heightened demand for digital services are actively stimulating the growth of the data center business. Industry estimates suggest that the country's data center capacity could reach between 5 and 8 gigawatts by 2030. This, in turn, will lead to increased demand for equipment related to servers, power supply, and cooling.
Adani Group has stated its commitment to investing $100 billion to develop 5-gigawatt green energy-powered, AI-ready data centers by 2035. The proposed partnership with Jabil aligns with these broad needs for technological infrastructure.
The Dharavi redevelopment project commenced on 22 acres of railway land in the Matunga area of Mumbai. Construction began on October 12 with a foundation-laying ceremony. This project is being executed by Adani Navbharat Developers Private Limited (ANDPL), a special company established for the Dharavi redevelopment.
According to the plan, 10 towers will be built, providing 10,432 residences for eligible residents. Additionally, 1,379 commercial and industrial units will be created. According to the company, eligible families will be provided with housing measuring 350 square feet. Thus, the project encompasses not only housing construction but also the creation of commercial and industrial infrastructure to support the livelihoods of local residents.