New Delhi/Gandhinagar, Feb 20 Gujarat has taken a significant step towards becoming a leading hub for artificial intelligence (AI) and digital infrastructure with the signing of a memorandum of understanding (MoU) for a 250 MW green AI-ready data centre campus at Dholera Special Investment Region (SIR).
The agreement was signed in New Delhi during the India AI Impact Summit-2026, in the presence of state Science and Technology Minister Arjun Modhwadia.
The MoU, concluded between the Gujarat Government’s Department of Science and Technology and Larsen and Toubro VYOMA, outlines an investment of Rs 25,000 crore for the project, which is expected to be operational by 2028.
The project aims to establish a high-scale, environmentally sustainable data centre capable of supporting cloud computing, advanced analytics, and AI-based services.
"The establishment of this data centre will enhance Gujarat's position as a hub for AI infrastructure and digital governance," officials said.
They added that the project is aligned with the state's IT/ITeS Policy (2022–27) and supports the development of a sustainable digital ecosystem.
The proposed Dholera SIR campus is expected to attract high-impact investments, promote innovation-led growth, and create significant employment opportunities across construction, commissioning, and long-term operations.
The wider ecosystem development associated with the project is also projected to generate indirect employment and strengthen Gujarat’s role in India's digital transformation.
Under the terms of the MoU, L and T VYOMA will carry out a detailed assessment of land suitability, infrastructure readiness, availability zones, and sustainability parameters.
The Gujarat government will facilitate the project through its departments, providing a structured framework for implementation.
This initiative follows Prime Minister Narendra Modi's outline of India's 'MANAV' vision for artificial intelligence at the India AI Summit, which emphasises moral and ethical systems, accountable governance, national data sovereignty, accessible and inclusive technology, and valid and legitimate systems.
The Prime Minister highlighted that AI's potential lies in augmenting human capabilities rather than merely making machines intelligent.
Following this vision, Gujarat Chief Minister Bhupendra Patel has strengthened the state's commitment to AI, allocating more than Rs 850 crore in this year's budget for AI and digital governance initiatives.
Officials say the MoU with L and T VYOMA marks a crucial step in building world-class AI-ready digital infrastructure in Gujarat, positioning the state at the forefront of India’s AI sector while promoting sustainable and innovation-driven development.
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