Major AI-Ready Data Centre Project Announced for Hyderabad with Rs 5,000 Crore Investment
In a significant development for India's technology infrastructure landscape, UPC Volt – a joint venture between Netherlands-based UPC Renewables Group and VOLT Data Centers – has unveiled ambitious plans to establish a state-of-the-art 100 MW AI-ready data centre in Hyderabad's emerging Bharat Future City. This substantial project represents an investment commitment of approximately Rs 5,000 crore to be deployed over a five-year implementation period.
Job Creation and Strategic Partnership with Telangana Government
The data centre initiative is projected to generate substantial employment opportunities, with expectations of creating approximately 3,000 direct and indirect jobs during the construction phase. Once operational, the facility will sustain more than 800 permanent positions, contributing significantly to the local economy and technology workforce development.
The formal commitment was solidified through a Memorandum of Understanding (MoU) signed with the Telangana government. This agreement followed strategic discussions between UPC Volt's leadership and the 'Telangana Rising' delegation, which was led by Chief Minister A. Revanth Reddy during the third day of the World Economic Forum annual meeting in Davos, Switzerland.
Alignment with Telangana's Vision and Sustainability Commitments
This project aligns perfectly with the state's forward-looking 'Telangana Rising 2047' vision, which aims to position the region as India's premier hub for artificial intelligence and hyperscale data centre operations. Company officials emphasized that the data centre will be supported by a matching 100 MW round-the-clock renewable energy project, ensuring carbon-free power for the digital infrastructure and establishing strong environmental credentials.
The MoU signing ceremony featured UPC Volt's leadership team, including Volt CEO Han de Groot, UPC Renewables APAC co-founder Steven Zwaan, UPC Renewables India CEO Alok Nigam, and Assistant Vice President Vikas Sharma, demonstrating the international and domestic collaboration behind this initiative.
Government Support and Strategic Vision
Chief Minister Revanth Reddy highlighted how this investment supports Telangana's ambitious goal of becoming a $3 trillion economy by 2047, emphasizing that world-class digital infrastructure will be a crucial driver of this economic transformation while adhering to a net-zero development roadmap. The Chief Minister specifically acknowledged IT Minister D. Sridhar Babu for his instrumental role in facilitating this substantial investment.
The data centre will leverage Telangana's Green Open Access framework to source renewable power, implementing a "power-first" operational model that enhances sustainability credentials specifically tailored for AI and hyperscale computational workloads.
Positioning Hyderabad as a Global AI Hub
IT Minister D. Sridhar Babu articulated Telangana's strategic positioning to attract next-generation compute infrastructure, stating: "We are actively pushing to establish ourselves as a global AI data centre hub through targeted incentives for high-density GPUs, large-scale training compute capabilities, and advanced liquid cooling technologies."
The Telangana delegation at Davos also included Revenue Minister Ponguleti Srinivasa Reddy, underscoring the comprehensive governmental support for technology infrastructure development in the state.
This landmark investment represents a significant step forward in India's digital infrastructure capabilities, particularly in the rapidly evolving field of artificial intelligence and sustainable data centre operations. The project not only brings substantial capital investment and employment opportunities but also reinforces Hyderabad's growing reputation as a preferred destination for cutting-edge technology infrastructure development in India.
