Lightstorm raises Rs 2,500 crore debt for AI fibre network

MUMBAI: India’s AI infrastructure is getting a new highway. Network infrastructure provider Lightstorm has raised a Rs 2,500 crore debt facility from IndusInd Bank to build dedicated fibre networks connecting AI data centre clusters across India.

The 10-year, fully underwritten facility will fund the next phase of Lightstorm’s AI infrastructure expansion, including a dedicated fibre corridor linking major data centre hubs and emerging AI zones.

The fundraise comes weeks after Lightstorm announced its I-2SEA subsea cable system, which will connect India with Singapore and Malaysia. The cable is being developed by a consortium comprising Microsoft, Tata Communications, Telekom Malaysia, Singtel, NEC Corporation and JCPL, with Lightstorm and Microsoft as co-owners.

The subsea system is expected to provide a high-capacity connectivity backbone for AI data centres across India and Southeast Asia, as demand for compute infrastructure continues to grow.

Lightstorm plans to expand its domestic fibre capacity through a dedicated AI corridor connecting major data centre markets including Mumbai, Chennai and Hyderabad.

The network will also link these hubs to hyperscale AI zones in Singapore and Malaysia, creating a broader India-Southeast Asia connectivity route for AI infrastructure.

The expansion comes as hyperscalers, enterprises and technology companies increase investments in data centres and GPU clusters across India. As AI workloads become increasingly distributed, high-capacity and low-latency connectivity is becoming a critical part of the infrastructure stack.

Lightstorm’s strategy is aimed at creating dedicated fibre capacity for these workloads rather than relying solely on networks built for conventional internet and cloud traffic.

The Rs 2,500 crore facility is structured over 10 years, giving Lightstorm long-term capital to scale its fibre network as AI infrastructure demand develops.

The company had previously raised Rs 700 crore from NIIF Infrastructure Finance and is expected to refinance that borrowing through the new facility.

Lightstorm currently operates more than 30,000 km of terrestrial fibre and 21,000 km of subsea fibre, connecting more than 100 data centres globally.

With its latest debt raise and the I-2SEA cable project, the company is positioning fibre connectivity as a core layer of India’s AI buildout, connecting the data centres and GPU clusters expected to power the country’s next wave of AI growth.