January 20, 2026: In a move that could reshape India’s AI startup ecosystem, AM Group has signed an MoU with the Uttar Pradesh government to build a 1 GW AI compute hub in Greater Noida, backed by an investment of nearly USD 25 billion.
Announced at the World Economic Forum in Davos, the project aims to create one of the world’s largest AI-ready infrastructure platforms, designed not just for tech giants, but also for developers, startups, and frontier AI labs.
The facility will roll out in phases, with initial capacity expected by 2028 and full-scale operations by 2030. At its peak, the hub will deploy around 500,000 cutting-edge AI chipsets, offering the kind of compute power that has traditionally been out of reach for most young companies and researchers.
What sets this project apart is AM Group’s vision of “democratizing AI.” Through its AI Labs, the company is building an end-to-end stack, from clean, on-demand energy (“electron agents”) to intelligent tokens that can power AI models, applications, and autonomous systems across sectors like healthcare, energy, mobility, manufacturing, gaming, and sovereign AI platforms.
AM Group Unleashes 1GW AI Powerhouse for India’s Tech Future
For India’s startup ecosystem, this could mean faster access to high-performance compute, lower barriers to experimentation, and the ability to build globally competitive AI products without relying entirely on overseas infrastructure.
The hub will be powered by 24/7 carbon-free energy, drawing on AM Group’s renewable energy portfolio spanning wind, solar, hydro, and pumped storage. This makes the project one of the few global AI infrastructure initiatives designed from the ground up with sustainability at its core.
Beyond compute, the project is expected to trigger a ripple effect, creating thousands of high-skilled jobs and catalyzing local ecosystems around hardware design, thermal management, data center services, and AI software development.
“Transforming electron agents into intelligent tokens is a natural extension of our technology-first approach as the global AI ecosystem races toward physical AI solutions,” said Anil Chalamalasetty, Group Chairman, AM Group.
“This is not just a data center—it’s a blueprint for how future AI infrastructure should be built,” added Mahesh Kolli, Group President, AM Group.
If AM Group’s vision in UP executed as planned, the Greater Noida AI hub could become a foundational layer for India’s next generation of AI startups, bringing world-class compute closer to home.
