HomeLatest NewsIndustryKyndryl to invest $2.25 billion in India over next three years, to set up AI Lab in Bengaluru

Kyndryl to invest $2.25 billion in India over next three years, to set up AI Lab in Bengaluru

Kyndryl, spun off from IBM, to invest $2.25 billion in India over three years, focusing on AI, infrastructure modernization and digital skilling.

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IT infrastructure services company Kyndryl on Thursday announced plans to invest $2.25 billion in India over the next three years, as it looks to strengthen its presence in the country and expand its artificial intelligence (AI) initiatives.

The New York Stock Exchange–listed company said the investment will focus on modernising critical technology infrastructure for enterprises, establishing an AI Lab in Bengaluru and building digital skills among India’s workforce.

A top executive said that the company also plans to extend its presence into Tier-2 and Tier-3 cities to tap talent and strengthen local innovation ecosystems.

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“Kyndryl is a proud, trusted partner to our customers and an employer of choice to tens of thousands of Kyndryls across India,” said Martin Schroeter, Chairman and CEO, Kyndryl.

“We are committed to further developing our people, expanding our technical capabilities, and strengthening partnerships to support growth and innovation,”

The company said the AI Innovation Lab in Bengaluru will serve as a centre for AI-powered , staffed with data scientists, consultants and engineers. Similar to facilities it has built in the UK and Singapore, the India lab will focus on developing expertise in data, cloud, applications and platform engineering.

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Prime Minister Narendra Modi welcomed the commitment, noting that global partnerships would help India’s young talent contribute to domestic and global innovation.

“India warmly welcomes global partners to explore the vast opportunities in our nation and collaborate with our talented youth to innovate and excel,” said Prime Minister Narendra Modi. “Together, we all can build solutions that not only benefit India but also contribute to global progress.”

Kyndryl already works with several large Indian organisations including Bangalore International Airport, Canara Bank, NSE, Honda Motorcycle and Scooter India, Godrej Consumer Products and Dr Reddy’s Laboratories. The company said its areas of focus — AI, cybersecurity and hybrid IT — align with India’s broader digital public infrastructure goals.

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As part of its social impact efforts, the company aims to provide digital training to 200,000 citizens through partnerships with educational institutions and the National Institute of Electronics & Information Technology (NIELIT). It also plans to expand early-career programmes in collaboration with graduate schools and research centres.

The Bengaluru AI Lab will also support high-impact engagements in areas such as governance, infrastructure and cyber resilience, with outcomes expected to be showcased at the AI Impact Summit organised by the Government of India in February 2026.

Kyndryl was created in November 2021 as a result of a spin-off from IBM. IBM separated its managed infrastructure services business into a new independent public company, which was named Kyndryl Holdings, Inc.

IBM retained its focus on hybrid cloud and AI. Kyndryl took over the responsibility for managing IT infrastructure services, including data centers, networking, and mission-critical technology operations for clients.

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