Mumbai, Aug. 18 -- Larsen & Toubro (L&T) has won a contract from Together AI to construct an artificial intelligence (AI) data centre campus in Chennai, in a deal valued at Rs 15,000 crore, equivalent to about Rs 150 bn. The facility is described as an AI Factory to support training, inference and fine-tuning workloads for machine learning and generative AI systems. The order covers construction, power and facilities to host high-performance computing infrastructure.

The project will deploy 10,000 NVIDIA B300 graphics processing units (GPU) to provide parallel compute capacity for model training and inference. The AI Factory will be hosted at Vyoma.AI's Chennai data centre campus, which is being developed as a gigawatt-scale infrastructure site. Phase one of the campus is designed for 250 megawatt (MW) capacity and the power infrastructure was stated to be at 150 megavolt-ampere (MVA).

AI data centres are specialised facilities that house servers, storage systems, networking equipment and power and cooling infrastructure for high-performance compute workloads. Large-scale AI facilities typically use clusters of GPUs because model training requires massive parallel processing and rapid interconnect performance. The deployment at Chennai reflects growing demand for dedicated AI compute in southern India, supported by the city's connectivity, industrial base and coastal infrastructure.

L&T is listed on the National Stock Exchange and the Bombay Stock Exchange and the announcement led to intraday gains in the company's shares on 13 August 2026. The contract was awarded by a United States-based cloud platform and the founding team includes Vipul Ved Prakash. The plan underscores the scale of private investment in specialised data centre infrastructure for artificial intelligence.

The project will involve design, construction and commissioning work across multiple phases and include power distribution, cooling systems and onsite security measures. L&T will coordinate with local authorities and partners for grid connectivity and regulatory clearances to operationalise the campus.

Published by HT Digital Content Services with permission from Construction World.