OPENAI TO BUILD INDIA DATA CENTER WITH AT LEAST 1GW CAPACITY AS GLOBAL AI INFRASTRUCTURE EXPANDS

OpenAl is preparing to establish a massive data center in India with an initial planned capacity of at least one gigawatt, according to people familiar with the project.

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The move underscores how the company is scaling its infrastructure footprint globally to keep up with exploding demand for generative AI services powered by its most advanced models.

If completed as envisioned, the site would be among the largest AI data centers in Asia, rivaling hyperscale builds from Amazon Web Services, Microsoft, and Google. It also reflects India's growing role as a strategic hub for both cloud infrastructure and AI adoption.

WHY INDIA, WHY NOW

The push into India reflects several overlapping priorities. OpenAI has faced infrastructure bottlenecks in the U.S. and Europe, where competition for power, land, and regulatory approvals has slowed expansion. India, by contrast, is actively courting AI and cloud providers, offering land, incentives, and energy partnerships to attract investment.

For OpenAI, India also offers proximity to a fast-growing user base. The country is one of the largest markets for AI applications, with startups, enterprises, and developers adopting models for education, healthcare, and financial services. Establishing a local hyperscale data center could cut latency, improve reliability, and reduce dependence on transcontinental networks.

THE SCALE: ONE GIGAWATT AND BEYOND