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AM Group begins work on 1 GW AI hub and data centre in Uttar Pradesh

A major push toward large-scale artificial intelligence infrastructure is underway as AM Group moves ahead with plans to build a high-performance AI hub and data centre in Uttar Pradesh. The initiative signals a growing convergence of clean energy and advanced computing to support rising AI demand.

AM Group, an energy transition platform backed by the founders of renewable energy major Greenko, has started development of its 1 GW AI hub and data centre in the state. The project has taken shape following the issuance of a letter of intent by the Yamuna Expressway Industrial Development Authority to AM AI Labs, an affiliate of AM Group.

The land parcels approved under the LoI will support the first 2 phases of the project, with capacities of 150 MW and 200 MW. The initiative was signed at Davos with Invest UP and is designed to scale operations in stages.

According to the plan, the project aims to make 350 MW operational by 2028 and reach its full 1 GW capacity by 2030. The development includes an investment of $25 billion and the deployment of around 5 lakh latest-generation high-performance chips.

Positioned as the world’s largest fully vertically integrated AI ecosystem, the data centre will combine owned carbon-free power from renewable sources and pumped storage with a complete software stack. It will also offer flexible AI consumption models, ranging from pods-as-a-service to tokens-as-a-service.

The project is expected to deliver the lowest-cost AI tokens globally, optimised across the entire value chain from energy generation to inference. It is designed to serve India’s rapidly expanding domestic AI market as well as global demand.

“This is an enormously ambitious project… By integrating the full value chain, we can optimise across layers in ways no single player can,” said Anil Chalamalasetty, Group Chairman, AM Group.

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