This Indian company is set to build a $2 billion AI hub powered by Nvidia

An Indian data centre firm plans a $2 billion AI hub powered by Nvidia GPUs, as demand for AI infrastructure rises and the company prepares for a public listing

India’s artificial intelligence (AI) push is gaining speed, but a shortage of high-powered chips is becoming a major challenge. As startups and global technology companies launch AI tools for India’s fast-growing digital market, demand for graphics processing units (GPUs) is rising much faster than supply.

 

Against this backdrop, Yotta Data Services is building a $2 billion AI hub powered by Nvidia GPUs and plans to go public within a year, CNBC reported.

 

GPU shortage clouds India’s AI ambitions

 

India has so far trailed the United States (US) and China in building foundational AI models and large-scale AI infrastructure. However, this is slowly changing as Indian firms begin rolling out early versions of their own models, the news report said.

 

At the recent India AI Impact Summit 2026, several companies introduced limited or early-stage AI products. Among them was Sarvam AI, which unveiled its Indus chatbot. “We’re gradually rolling out Indus on a limited compute capacity, so you may hit a waitlist at first. We will expand access over time,” Pratyush Kumar, co-founder of Sarvam AI, said in a post on X.

 

Yotta positions itself as key AI infrastructure provider

 

According to Sunil Gupta, co-founder, managing director and CEO of Yotta, most Indian AI models showcased at the summit were trained using Nvidia GPUs hosted in Yotta’s data centres.

 

The Mumbai-based company began sourcing Nvidia GPUs in 2023. It now controls an estimated 60-70 per cent of India’s total GPU capacity, putting it at the centre of the country’s AI infrastructure buildout, the news report said.

 

Gupta expects demand for GPUs to increase further as global AI companies expand in India.

 

To meet this growing need, Yotta plans to raise between $1.2 billion and $1.5 billion in a pre-IPO funding round. The company is aiming to go public within the next year, Gupta said.   

 

Global tech giants deepen India focus

 

Several US-based technology firms are strengthening their presence in India’s AI market. Companies such as OpenAI, Google and Perplexity AI are offering AI tools at low or no cost to attract millions of Indian users.

 

Among hyperscalers, Google has confirmed plans to invest $15 billion in a data centre hub in southern India. Microsoft has announced a $17.5 billion investment to expand its data centre footprint in the country.

 

In another major move, OpenAI signed up as the first customer of Tata Consultancy Services’ data centre business, booking 100 megawatts (MW) of capacity, with the option to scale up to 1 gigawatt (GW).

 

Data centre capacity set to double by 2028

 

India’s data centre capacity is expected to rise sharply in the coming years. Citing data from Nomura, the report said total capacity stands at 1.93 GW in 2025 and is projected to nearly double to 4 GW by 2028.

 

Nomura noted that companies announced investment plans worth $277 billion over the next five to seven years at the AI Summit. Most of these investments are expected to go into AI infrastructure.

 

“Majority of these investments will flow into data centers, with domestic and US firms leading hyperscale buildouts and positioning India as a key US technology partner,” the brokerage said.