Lucknow: The Uttar Pradesh government is setting up an ambitious target of attracting Rs 70000 crore in private sector investment for its electronics manufacturing and data centre industries.
Under the UP Electronics Manufacturing Policy (UPEMP), the state anticipates Rs 40000 crore in investments, creating an estimated 400000 job opportunities. Additionally, the UP Data Centre Policy 2021 is expected to bring in investments worth Rs 30000 crore, with plans for eight private data centre parks boasting a total capacity of 900 megawatts (MW).
The state’s electronics policy has already drawn Rs 6500 crore in investments from leading global and domestic companies, including Haier, Vivo, Samsung, LG, Dixon, Addverb, Oppo, and Havells.
In 2023, electronics manufacturing played a crucial role in the state’s economy, contributing 22 per cent to Uttar Pradesh’s total exports. The policy framework offers various incentives, including subsidies on capital, land, and electricity, to attract further investments in the sector.
The data centre industry in the state is also witnessing significant growth. Companies such as Hiranandani Group, Adani Group, NTT Japan, and Web Werks have announced data centre projects worth Rs 20,000 crore.
Given the rapid adoption of digital services in India, the country is projected to require an additional 1.7 to 3.6 gigawatts of colocation data centre capacity by 2028. Colocation data centres provide businesses with dedicated space for their servers and networking equipment.
Recently, Sify Infinit Spaces Limited launched its first AI-Hub Data Centre at the HCL IT City campus in Lucknow. The project, expected to be operational by June 2025, was announced during the foundation-laying ceremony attended by Sify Technologies Chairman Raju Vegesna.
The state’s budget for 2025-26 includes a Rs 5 crore allocation for developing India’s first Artificial Intelligence City in Lucknow. Meanwhile, the region surrounding the under-construction Jewar International Airport in Greater Noida has attracted over Rs 32,000 crore in semiconductor investments.
Tarq Semiconductors, a subsidiary of the Hiranandani Group, is set to invest Rs 28440 crore in chip fab. Additionally, Vama Sundari Instruments (Delhi) Private Ltd, an investment arm linked to HCL, will invest Rs 3706 crore in another semiconductor project in partnership with Foxconn.
These investments are expected to solidify Uttar Pradesh’s position as a key player in India’s rapidly expanding electronics and digital infrastructure sectors.
Also read –
India’s Semiconductor Dream: Govt Confident about a Major Leap Towards Self-Sufficiency in 2025
Discussion about this post