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Solstice Data has committed an investment of INR 52,600 crore to develop a large data centre project in Kerala, marking a major boost to the state's digital infrastructure sector. The project will come up at KINFRA Industrial Park in Kannur across nearly 100 acres and will be executed in multiple phases over the next few years. Focused on artificial intelligence and high-performance computing, the development is expected to create jobs and support Kerala's plans to attract global technology investments and strengthen its position in the data centre ecosystem.
Solstice Data has announced an investment commitment of INR 52,600 crore for setting up a large-scale data centre project in Kerala. The company entered into a memorandum of understanding with the state's industrial agency to take forward the development, which is considered one of the biggest investments in Kerala's technology infrastructure space. Advertisement
The project will be developed at KINFRA Industrial Park in Mattannur, Kannur, where close to 100 acres have been identified for the facility. The development is planned in phases and is expected to be completed over a period of around five to seven years, depending on infrastructure readiness and demand growth.
The proposed data centre will focus on artificial intelligence workloads and high-performance computing, areas that are seeing rising demand globally. The facility is expected to include advanced computing systems, large server capacities, and supporting infrastructure required for handling data-intensive operations. Such projects typically require stable power supply, strong connectivity, and efficient cooling systems, all of which are being gradually strengthened in the region.
Initial phases of the project are likely to involve significant capital deployment to establish core infrastructure, including power systems and data storage facilities. As the project progresses, additional capacity is expected to be added in line with demand from enterprises and global clients.
This investment aligns with Kerala's ongoing efforts to attract technology-led developments and diversify its industrial base. The state has been focusing on improving industrial parks, connectivity, and policy support to draw investments in emerging sectors such as cloud computing and digital services. Kannur, in particular, has been gaining attention due to improving infrastructure and availability of large land parcels.
In addition to direct employment during construction and operations, the project is expected to create indirect opportunities for local businesses, including logistics, maintenance, and support services. Large data centre developments also tend to increase demand for nearby residential and commercial real estate, especially in surrounding areas.
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