India’s shift toward a high-performance economy is now moving beyond software code to a massive physical buildout. As of February 2026, the nation is entering an "Intelligence Supercycle" that demands a physical backbone of power, fibre, liquid cooling, and semiconductor chips. Market projections now peg the AI-linked infrastructure opportunity at ₹200 lakh crore. This capital-intensive transition is backed by a maturing financial ecosystem where REITs and InvITs have emerged as top-tier assets. In 2025, the Nifty REITs and InvITs index delivered returns of 25.48%, significantly outperforming the broader Nifty 50. The data center segment is the primary engine of this growth. Capacity has surged to 1.3 GW in early 2026 and is on a trajectory to hit 4.5–6.5 GW by 2030. High-density AI workloads now require 8–10 kW per rack—nearly five times the power of traditional setups—triggering a pivot toward advanced liquid cooling and captive renewable energy sources. Global capital is responding with scale. Major tech leaders have committed over $100 billion in cumulative investments for localized hubs. The Union Budget 2026–27 has further incentivized this by granting data centers "infrastructure status" and introducing a long-term tax holiday extending to 2047 for strategic facilities. Domestic semiconductor ambitions are also scaling via India Semiconductor Mission (ISM) 2.0. With an initial ₹8,000 crore outlay for the current fiscal year, the mission aims to move toward 3nm and 2nm technology nodes. The local chip market is expected to exceed $100 billion by 2030, reducing reliance on imported hardware for AI compute. The IndiaAI Mission has already deployed over 38,000 GPUs, with another 20,000 units expected within the next six months. This subsidized compute pool is designed to fuel a domestic ecosystem of deep-tech startups and indigenous foundation models. Financing this ₹200 lakh crore expansion relies on asset monetization. The government’s Asset Monetization Plan 2025–30 is leveraging roads, power, and telecom assets to recycle capital into new digital builds. With SEBI’s recent reclassification of REITs as equity-related instruments, institutional and retail participation is set to deepen, providing the long-term liquidity required for India's AI-led industrialization. [India's AI Mission 2.0 and GPU expansion details](https://www.google.com/search?q=https://www.youtube.com/watch%3Fv%3DS0169R_V-E4) This video provides specific details on the expansion of India's AI compute capacity and the strategic goals of the IndiaAI Mission 2.0 mentioned in the brief.