Telangana's Bold Leap Into AI: A Vision for Sustainable Digital Future

Telangana's vision to be India's AI hub took a major leap at WEF 2026, as the state secured a Rs 5,000 crore investment for a 100 MW AI data centre. This initiative is expected to create over 3,800 jobs and foster sustainable growth with an integrated renewable energy approach.

In a significant stride towards establishing Telangana as India's leading AI data center hub, the 'Telangana Rising' delegation led by Chief Minister A. Revanth Reddy secured a substantial investment at the World Economic Forum (WEF) 2026. During pivotal meetings with UPC Volt, a joint venture between UPC Renewables Group and VOLT Data Centres, the state government discussed plans to develop high-performance, energy-efficient AI data centers.

UPC Volt announced its proposal to build a 100 MW AI-ready data center in Bharat Future City, alongside a matching renewable energy project of the same capacity, aimed at powering the digital infrastructure with sustainable energy. This investment, valued at Rs 5,000 crore over five years, is anticipated to generate over 3,000 jobs during the construction phase and more than 800 in operational roles. An MoU has been signed to formalize this partnership.

The initiative aligns with Chief Minister Reddy's broader vision of growing the state's economy to USD 3 trillion by 2047 while adhering to net-zero development goals. The proposed facility will operate under Telangana's Green Open Access framework, integrating renewable energy sources into its operations strategy. The state government emphasizes its commitment to becoming a global AI center by encouraging technology investments in areas such as high-density GPUs and liquid cooling solutions. Revenue Minister Ponguleti Srinivasa Reddy accompanied the delegation at the WEF meeting, underscoring the state's collaborative approach to this venture.

(With inputs from agencies.)