Taiwan currently produces the bulk of the world’s AI servers, which are used by technology giants such as Amazon.com Inc., Microsoft Corp. and Nvidia Corp. But with geopolitical

BENGALURU (Reuters) - China's Lenovo Group will start making artificial intelligence (AI) servers at its plant in southern India and opened an AI servers-focussed R&D lab in the tech hub of Bengaluru, the electronics hardware maker said on Tuesday.

Lenovo India managing director Shailendra Katiyal said on Tuesday that the company will make servers locally and also export them from its manufacturing unit in Puducherry.

Lenovo will be making AI servers in India and exporting to other countries and has also opened a new R&D facility in Bengaluru.

Lenovo Group Ltd (聯想) started building artificial intelligence (AI) servers in India’s south, the latest boon for the rapidly growing country’s push to become a high-tech powerhouse.

India’s second largest PC maker’s bid to manufacture servers in India comes on the back of a three-year $1-billion investment in AI announced last year to develop AI platforms, computing devices and servers.

While India’s tech manufacturing sector is still small compared with China, it now makes increasingly sophisticated products such as iPhones.

Lenovo's plans mark another win for India as Prime Minister Narendra Modi tries to attract more technology investment into the country.

The company’s Puducherry plant, operational since 2005, has been upgraded to produce enterprise AI and GPU servers.

The plant will be making three rack-mounted enterprise AI servers and two flagship 8-way GPU servers. These advanced servers, featuring, are specifically designed for AI workloads