Lenovo Expands India Investment With New AI Server Manufacturing, R&D Lab

Lenovo on Tuesday revealed it has begun manufacturing high-performance AI servers at its facility in Puducherry, alongside the inauguration of a new Research & Development (R&D) lab in Bengaluru. 

This move is part of Lenovo's broader strategy to solidify India’s position as a key hub for its innovation.

The Puducherry facility, operational since 2005, will now produce enterprise AI and GPU servers specifically designed to handle intensive AI workloads. With an annual production capacity of 50,000 AI rack servers and 2,400 GPU units, Lenovo is prepared to meet growing domestic and international demand for AI infrastructure. A big portion of these servers, over 60 per cent, is earmarked for export across the Asia-Pacific region, further strengthening India’s role in the global tech supply chain. 

The company’s advanced 8-way GPU architecture will be a key feature of the AI servers, which are expected to play a crucial role in accelerating AI capabilities worldwide.

Simultaneously, Lenovo has expanded its research capabilities by launching a state-of-the-art Infrastructure R&D Lab in Bengaluru, which will contribute to the company’s global network of 18 labs. This facility is one of only four critical Lenovo labs worldwide focused on infrastructure solutions, joining centers in Morrisville, Beijing, and Taipei. The Bengaluru lab will spearhead the design, development, and testing of next-generation server platforms, including hardware and software components. 

These new initiatives are part of Lenovo’s multi-million-dollar investment plan in India, which also includes creating over 1,000 skilled technical jobs. 

In a statement, Amar Babu, President – Asia Pacific, Lenovo said, “We remain committed to driving India’s growth as an innovation hub by expanding our global manufacturing footprint and harnessing the strength of Indian talent and the industry ecosystem for technology R&D.”