Meta and Reliance join hands on AI data centre and enterprise services
Synopsis
Meta and Reliance have formed a $100 million joint venture to expand AI infrastructure and enterprise AI services in India. The partnership includes access to a large AI-ready data centre and comes as global technology companies increase investment in computing capacity needed to support artificial intelligence applications worldwide.
Meta Platforms revealed its latest infrastructure partnership is to work with Reliance Industries in India on both building AI data centre capacity and enterprise AI services to fuel its competition for computational power with technology firms.
The companies will invest a total of approximately Rs 855 crore ($100M) in the joint venture which will supply AI infrastructure and business tools that run on Meta's Llama models. It will cater to both Indian and certain international customers, the companies announced in separate statements.
The deal illustrates the broad trend of technology companies securing access to data centres that are suitable for the increasing computing needs of AI systems.
India becoming a major AI destination
For US and Australian businesses, the deal represents a further sign of the increasing role of India in the global AI space. With more than 900 million internet users and one of the largest digital economies in the world, India has become an attractive investment destination.
Reliance is in the process of building 168 megawatt (MW) of AI ready data centre space in Jamnagar, Gujarat which Meta will likely use. Similar large-scale data centres have been increasingly cited as key infrastructure required by enterprises adopting AI technologies requiring massive processing capability.
Market forecasts are encouraging, with Gartner projecting IT spending to reach $176.3 billion in 2026 with data centre systems experiencing the highest growth among the largest tech segments. Separately IDC projects that India's AI spend will be double that of digital tech spend until 2027.
An increasing battle for computing capacity
This partnership comes as the US, China, South Korea, Taiwan and other nations increase investments into infrastructure related to AI.
Reliance, India's most valuable firm, reported a profit after tax of Rs 95,754 crore for FY2025-26 on the back of a consolidated revenue of Rs 11.76 lakh crore. This agreement for Meta increases its data centre footprint in a region it clearly considers critical for long-term growth in AI.
This joint venture is likely to emphasize locally hosted AI services, which have become more critical for many enterprises that are increasingly looking for AI tools and technologies and are keen on keeping data and processing power within their premises.
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Pooja Malik is a business journalist with over six years of experience covering startups, entrepreneurship, and emerging trends. She has previously worked with leading media platforms such as YourStory Media and BW BusinessWorld, where she reported on business, policy, and market developments. Currently, she serves as Editor at The Inspirepreneur Magazine, where she writes and edits stories across business, lifestyle, and travel, with a focus on clarity, accuracy, and reader relevance.
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