Reliance proposes to build, what may become the world’s biggest data center by capacity in India. It will leverage the rising demand for AI services.
This data center will be powered by Nvidia’s semiconductors and will be set up in the town of Jamnagar, Gujarat. It will have a total capacity of three gigawatts. The project will be completed in record time — in 24 months. The largest data centers operating now are less than 1 gigawatt (DC Byte).
Reliance is joining big league of companies such as Microsoft, Alphabet and Amazon that are pouring billions of dollars into data centers to deliver AI capabilities to customers worldwide. We have already observed about Stargate project of OpenAI, SoftBank and Oracle which proposes to put around $100 billion to $500 billion in the project.
Every time a query is put to models like ChatGPT, it processes the query by operating. The company OpenAI have the pay for computing resources every time a user has a query. There is a demand for inferencing. A pretrained a model makes predictions or generates output. It is called inferencing. Here GPU time is consumed. Inferencing costs can be onerous. The whole project may have an investment of $20 billion to $30 billion. There were training costs to prepare the LLM for processing. Training is energy intensive. There is training time too. There are hosting costs of maintaining GPU servers.
In the US, Facebook plans to invest $60 billion-$65 billion to build AI infrastructure. It will build more than 2-gigawatt data center, that is large enough to cover a significant part of Manhattan. Facebook plans to end 2025 with more than 1.3 million GPUs.
Leave a Reply