Indian web hosting provider RackBank recently announced its plans to build a cutting-edge AI data center in Raipur, Chhattisgarh, with an estimated initial investment of ₹1,000 crore rupees (about $118 million USD). This significant development, unveiled in the presence of Chhattisgarh Chief Minister Vishnu Deo Sai and other state officials, is set to play a crucial role in India’s AI infrastructure goals.
Spanning across 13.5 acres in the Chhattisgarh Special Economic Zone (SEZ), the data center will accommodate up to 100,000 GPUs to support state-of-the-art artificial intelligence workloads and high-performance computing applications. The first phase will provide an 80 MW capacity, with future expansions planned in four stages to increase the power capacity to 160 MW. RackBank has also secured an additional 2.70 hectares in the SEZ for potential growth, with a total investment reaching up to ₹3,000 crore ($355 million USD) within five years.
The construction of the data center will incorporate advanced cooling technologies, including Varuna’s liquid immersion systems and RackBank’s proprietary direct-to-chip cooling solutions. These innovations are anticipated to reduce cooling expenses by up to 70% while keeping pace with Nvidia’s GPU chip roadmap to prepare for upcoming AI advancements.
The new data center aims to serve as a central AI hub in India, aligning with the government’s IndiaAI Mission and facilitating digital collaboration among government agencies, businesses, and educational institutions. RackBank’s CEO, Narendra Sen, highlighted the project’s potential to drive digital transformation and enable AI services in critical sectors like agriculture, healthcare, and education.
Positioned strategically in Raipur, the data center’s central location allows for efficient low-latency AI and cloud service delivery across India, ultimately enhancing regional connectivity and economic development. Initially creating around 200 job opportunities, the project aims to increase this number to 500 as the facility expands. Commerce Secretary Rajat Kumar emphasized the initiative’s support for sustainable development objectives and its role as a digital infrastructure backbone for the state.
