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L&T: Demand for data centre capacity high

Financial Express Kochi

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November 27, 2025

NEARLY 50% OF Larsen & Toubro's (L&T) upcoming data centre capacity is expected to be consumed by sovereign and highly regulated sectors -including government departments, finance, telecom, and insurance - signalling a sharp rise in demand for secure, compliant, and AI-ready digital infrastructure.

- OJASVI GUPTA

"If we put together the highly regulated entities along with the government, it will account for around 50% of data centre capacity," Seema Ambastha, chief executive, L&T-Vyoma, said.

Ambastha added that the shift towards sovereign compute environments is becoming essential as enterprises adopt artificial intelligence at scale.

To cater to this demand, L&T is seeking approval for five new data centre projects that would expand its current 30MW capacity to 300MW by 2031 - marking a tenfold increase.

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