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# Vultr Plans 600 MW of AI Capacity in India by 2028, Starts With Chennai
- URL: https://newsanek.com/vultr-chennai-ai-supercluster-india-expansion-plan/
- Published: 2026-11-03T15:50:05.000Z
- Updated: 2026-11-03T15:50:05.000Z
- Description: US cloud provider Vultr has launched a 20 MW AI supercluster in Chennai and aims for 1 GW of AI capacity in India by 2029.
- Author: Kumar Ujjwal
- Tags: Business, #prof-corporate, #sub-it-updates, #sub-jobs-hiring, #starter

US-based cloud infrastructure provider Vultr has announced a 20 MW AI supercluster in Chennai and plans to build 600 megawatts (MW) of AI capacity in India by 2028 and 1 gigawatt (GW) by 2029\. The company said it is expanding because India is moving from using AI technologies to building AI applications for global markets, according to BW Businessworld. The plans were shared at a media briefing in Chennai. The launch was announced on 2 November.

### Key points

- Vultr launched a 20 MW AI supercluster in Chennai, powered by AMD Instinct MI355X GPUs, with about 10,000 GPUs expected initially.
- The company targets 600 MW of AI capacity by 2028 and 1 GW by 2029 in India.
- It signed an MoU with StartupTN to offer startups up to $45,000 in computing credits and a 20 per cent discount.
- Vultr has not disclosed how much it is investing in the Chennai project or its Indian operations.

## What the Chennai facility offers

Vultr describes the Chennai site as India's largest AMD Instinct deployment and its largest such installation outside the United States. Along with its Springfield, Ohio, facility, it is one of the company's two largest AMD AI infrastructure deployments. The Times of India reported that the first cluster is expected to become operational by March 2027.

The facility is designed for AI laboratories, foundation model developers, startups, enterprises, research institutions and universities. Kevin Cochrane, Chief Marketing Officer at Vultr, told The Hindu that global enterprises have already reserved a substantial portion of the capacity. He did not name the customers or say how much has been booked. This reserved capacity will not be available to digital startups and universities.

## Why India, and what the company says

Cochrane said India's engineering talent is a key driver of Vultr's investment. He pointed to the country's enterprise platform engineers, cloud architects and developers who are building open-source AI models and agentic systems for global use. Placing infrastructure closer to these communities is central to the company's strategy.

Vultr entered India in 2022 and runs data centre regions in Delhi-NCR, Bengaluru and Mumbai. It has more than 10,000 active customers in the country, which Cochrane called its largest market outside the United States. With Chennai, the company's network covers 34 cloud data centre regions across 17 countries and six continents.

On costs, Vultr's leadership claimed customers could save 50 to 90 per cent on core cloud computing compared with traditional hyperscalers. Piyush Gupta, Vice President for India, APAC and the Middle East, said lower infrastructure costs could help businesses shift spending towards hiring and expanding workloads. The company did not give GPU-specific savings estimates.

## Support for startups and what comes next

At the launch, Vultr signed a memorandum of understanding with StartupTN, the Tamil Nadu government's nodal agency for startups and innovation. Eligible ventures will get cloud computing credits of up to $45,000 and a 20 per cent discount. The event was attended by P. Mathan Raja, Tamil Nadu's Minister for Micro, Small and Medium Enterprises, and Atul Anand, Additional Chief Secretary, IT and Digital Services Department.

Amit Rai, General Manager for AI and Enterprise Cloud at Vultr, said Chennai is the starting point for wider expansion. The company is evaluating more locations but has not committed to firm timelines for the full build-out. Cochrane said growth over the next two to three years would be "an order of magnitude greater" than the current deployment.

For corporate readers, the plan points to growing local options for AI computing in India, though pricing claims and the final scale of the build-out remain to be seen.

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### Source

- [BW Businessworld: ‘India Is Emerging As A Global Centre For AI Development’: Kevin Cochrane](https://www.businessworld.in/article/india-is-emerging-as-a-global-centre-for-ai-development-kevin-cochrane-631808?ref=newsanek.com)