L&T Secures Up to $1.57 Billion Nvidia AI Data-Centre Order

Larsen & Toubro (L&T) has secured a major AI infrastructure contract worth up to ₹15,000 crore ($1.57 billion) from US-based AI cloud company Together AI, marking a significant expansion of the Indian engineering group’s presence in the rapidly growing artificial intelligence infrastructure sector. The order was announced on August 13, 2026.

Order Worth ₹10,000–15,000 Crore

L&T said the contract falls in the ₹10,000 crore to ₹15,000 crore range, equivalent to approximately $1.05 billion to $1.57 billion. The company classifies orders in this range as “mega” orders.

The project will be executed through LTN Compute, an AI infrastructure subsidiary of L&T’s digital infrastructure business, and will be hosted at the company’s Chennai data-centre campus.

10,000 Nvidia B300 GPUs to Power AI Factory

The facility will deploy 10,000 Nvidia B300 GPUs, creating what L&T described as India’s largest single-cluster AI infrastructure facility.

The high-performance computing facility is designed to support large-scale AI workloads, including AI model training, fine-tuning and inference for Together AI’s cloud platform.

The scale of the GPU deployment highlights the rapidly increasing computing requirements of generative AI and other advanced artificial intelligence applications.

Together AI to Use the Infrastructure

The customer for the project is Together AI, a US-based AI cloud company.

Together AI provides cloud infrastructure for developers and companies building and deploying AI models. The new facility will provide the computing capacity needed to support its growing AI workloads.

The partnership also gives L&T an opportunity to establish itself as an infrastructure provider for global AI companies operating at large scale.

L&T Enters AI Factory Business

The order represents an important strategic development for L&T because it marks the company’s entry into the AI factory business.

Unlike conventional data centres, AI factories are designed specifically for high-density computing workloads using large clusters of specialised GPUs and associated networking, storage and cooling systems.

L&T plans to combine its engineering and infrastructure capabilities with Nvidia’s AI computing technology to develop these facilities in India.

Chennai Campus at the Centre of the Project

The AI factory will be developed at L&T’s Chennai data-centre campus.

The campus is part of L&T’s longer-term plan to build gigawatt-scale AI infrastructure in India. The company had previously said its Chennai facility could support Nvidia GPU clusters of up to 30 MW, while a separate 40 MW data centre in Mumbai is also being developed.

The latest order gives the Chennai campus an immediate large-scale AI computing customer.

Nvidia Partnership Strengthens L&T’s Position

L&T and Nvidia had already announced plans in February 2026 to work together on gigawatt-scale AI factory infrastructure in India.

The partnership combines L&T’s engineering and infrastructure expertise with Nvidia’s GPUs, CPUs, networking, accelerated storage and AI software ecosystem.

The new Together AI order provides a major commercial development following that earlier strategic announcement.

L&T Shares Rise After Announcement

The market responded positively to the announcement.

L&T shares gained as much as 1.2% during Thursday’s trading session, reflecting investor interest in the company’s expansion into AI infrastructure and the size of the newly secured contract.

Investors are increasingly watching L&T’s digital infrastructure business as the company seeks to diversify beyond its traditional engineering, construction and infrastructure operations.

India’s AI Infrastructure Gets a Major Boost

The project also highlights India’s growing ambitions in artificial intelligence.

As AI companies require increasingly powerful computing infrastructure, demand is rising for large data centres equipped with advanced GPUs, high-capacity networking, specialised cooling systems and reliable power infrastructure.

A 10,000-GPU facility in Chennai could therefore strengthen India’s position as a regional destination for AI computing and cloud infrastructure.

Growing Demand for AI Data Centres

The L&T order comes amid a broader global surge in investment in AI infrastructure.

Technology companies and cloud providers are spending heavily on data centres because increasingly sophisticated AI models require enormous amounts of computing power.

India is also seeking to build domestic AI capacity under initiatives such as the IndiaAI Mission, creating opportunities for infrastructure companies capable of developing large-scale computing facilities.

L&T’s Larger Data-Centre Strategy

L&T has been expanding its data-centre operations as part of its digital infrastructure strategy.

Its existing and planned facilities are increasingly being designed to support GPU-based AI workloads, alongside traditional cloud and enterprise computing requirements. The company’s FY2025-26 annual report said its digital infrastructure business was moving toward an integrated model covering AI solutions, GPU and CPU cloud services and hyperscale-grade data centres.

The Together AI contract could accelerate that transition.

What the Deal Means for L&T

The contract provides L&T with several strategic advantages:

• Entry into the rapidly expanding AI factory market
• A major international AI cloud customer
• Increased utilisation of its Chennai data-centre infrastructure
• Greater exposure to Nvidia’s AI ecosystem
• Potential for additional large-scale AI infrastructure projects
• Stronger positioning in India’s emerging AI infrastructure sector

However, the long-term financial impact will depend on project execution, delivery schedules, infrastructure costs and future customer demand.

A Major Milestone for India’s AI Ecosystem

The ₹10,000–15,000 crore L&T order represents one of the most significant AI infrastructure announcements in India this year.

With 10,000 Nvidia B300 GPUs planned for the Chennai facility, the project demonstrates the scale at which AI computing infrastructure is now being developed in India.

For L&T, the contract marks a major step beyond traditional infrastructure into the high-growth technology and AI economy. For India, it strengthens the country’s ambition to become an important global hub for AI computing and data-centre infrastructure.

Source: Larsen & Toubro, Reuters and market reports published August 13, 2026.

Original Report: L&T secured a ₹10,000–15,000 crore contract from Together AI to develop a 10,000-GPU Nvidia B300 AI infrastructure facility at its Chennai data-centre campus.

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