The shares of Larsen & Toubro (L&T) saw a modest gain in trade on February 18, reflecting market optimism after the company announced a strategic partnership with Nvidia to set up India’s largest gigawatt-scale AI factory.
On Wednesday, L&T shares edged up nearly 1%, trading at Rs 4,310.5 per share, highlighting investor interest in the company’s ambitious AI infrastructure plans.
Market Performance Today
The stock market responded positively to L&T’s announcement:
- L&T shares: Rs 4,310.5, up ~1%
- Trading sentiment: Supportive, reflecting interest in tech-driven industrial growth
- Key focus: Expansion in AI and high-performance computing infrastructure
Investors are keeping a close watch as the move positions L&T as a key player in India’s emerging AI ecosystem.
L&T and Nvidia Partnership: A Leap Toward AI Leadership
At the ongoing India AI Summit, L&T revealed its collaboration with Nvidia under the India AI Mission. The venture aims to develop sovereign, scalable AI infrastructure within India, strengthening the country’s global AI footprint.
The partnership brings together:
- L&T’s expertise: Engineering, infrastructure development, and execution
- Nvidia’s technology: GPUs, CPUs, networking, NVIDIA AI Enterprise software, accelerated storage platforms, and reference architectures
This integration will enable rapid, secure adoption of AI across priority sectors, from manufacturing to healthcare and public services. L&T emphasized that the infrastructure would allow critical data and AI workloads to be built, trained, and deployed within India, while remaining globally interoperable.
Building the Gigawatt-Scale AI Data Center Factory
The centerpiece of this venture is the gigawatt-scale AI data center factory designed to provide high-density, next-generation AI capacity. Key highlights include:
- Chennai Data Center: Scaling NVIDIA GPU cluster deployment up to 30 MW across a 300-acre campus
- Mumbai Data Center: New 40 MW facility under construction
- Purpose: Deliver enterprise-grade AI services to global off-takers, hyperscalers, and Indian companies
The AI factory will also support industrial-grade AI applications, providing predictable performance, security, and rapid deployment for multiple sectors. L&T aims to create a self-sustaining innovation hub, leveraging its internal AI agents and frameworks like Lights-Out Factory, Blueverse, and agentic AI deployment.
Company Overview and Strategic Vision
L&T, an 88-year-old engineering and infrastructure leader, is now stepping decisively into AI infrastructure. Chairman and Managing Director SN Subrahmanyan highlighted the initiative’s impact:
“India’s enterprises are ready to move from AI pilots to production-scale deployment. This investment lays the foundation—secure, scalable, and sovereign infrastructure—to power manufacturing, energy, financial services, healthcare, and public services.”
Nvidia CEO Jensen Huang echoed the significance, stating that AI is driving the largest infrastructure buildout in history, with India poised to become a global hub for digital infrastructure.
Together, L&T and Nvidia aim to provide India with world-class AI capabilities, reinforcing the country’s technological and industrial leadership.
Summary
L&T’s latest partnership signals a major step in India’s AI journey:
- Shares rose ~1%, reflecting market confidence
- Partnership with Nvidia targets gigawatt-scale AI infrastructure
- Focus on sovereign, scalable, production-ready AI capacity
- Facilities in Chennai and Mumbai to support high-density workloads
- The venture strengthens L&T’s role in industrial and enterprise AI applications
For stock market today updates, L&T’s move stands out as a key story—merging traditional engineering prowess with cutting-edge AI innovation.
Source: Moneycontrol
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