Nathu La: Zoho Launches Designed-in-House Server with Lower Power Consumption and Reduced TCO

Nathu La by Zoho

Chennai: Zoho Corporation has announced the launch of Nathu La, a designed-in-house server platform that marks a significant milestone in the company’s strategy of building its complete technology stack, from hardware infrastructure to software applications.

The company said Nathu La delivers equivalent performance while reducing power consumption by 12-18% and lowering the total cost of ownership (TCO) by 20-30%, ultimately helping reduce AI inference costs.

Developed in collaboration with Intel and powered by Intel® Xeon® 6 processors, Nathu La represents Zoho’s continued investment in long-term research and development aimed at improving customer value and enhancing technological self-reliance.

“The Nathu La server launch is in line with that goal,” said Shailesh Davey, CEO of Zoho Corporation. “With Zoho’s strategy of using contextual, right-sized models, running on our own platform, now on our own servers, accelerated by our own GPU database, we are compounding the benefits accrued from owning and operating our entire technology stack.

These long-term R&D investments we are making at every layer of the stack are aimed at delivering customer value and ensuring that our solutions are more sustainable and accessible for businesses than the competition.”

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Built to Optimize the Full Technology Stack

The design philosophy behind Nathu La is rooted in the Open Compute Project (OCP), with an emphasis on modularity, thermal efficiency, and ease of maintenance.

According to Zoho, this approach enables its data centers to significantly reduce total cost of ownership and power consumption.

The company plans to deploy its applications on the Nathu La server platform to optimize software and hardware integration for its workloads, improve performance, reduce operational costs, and strengthen data governance for customers worldwide.

The deployment is also expected to lower inference costs associated with Zoho’s AI capabilities.

Shailesh Davey, CEO of Zoho Corp., said, “These long-term R&D investments we are making at every layer of the stack are aimed at delivering customer value and ensuring that our solutions are more accessible for businesses than the competition.”

Nathu La: Developed Through Homegrown Engineering Talent

Zoho highlighted that while India’s digital infrastructure has expanded rapidly, much of the underlying server technology has traditionally been sourced from overseas.

With Nathu La, the company says it has created a homegrown server platform with intellectual property owned in India.

The project traces its origins to 2020, when Zoho established a research and development team in Nagpur focused on initiatives such as server design.

The Nathu La R&D team includes recruits from SETU (Student’s Engagement for Transformative Upskilling), a program aimed at developing industry-ready engineers from colleges across Central India with specialization in Electronics System Design and Manufacturing (ESDM).

The initiative seeks to address concerns around the erosion of foundational engineering skills in the age of AI-assisted learning by emphasizing hands-on innovation, first-principles problem-solving, critical thinking, creativity, and applied engineering knowledge. More than 300 students have been trained through the program, with several joining Zoho.

“The development of the Nathu La server reflects our commitment to creating complex technology powered by talent from smaller towns and villages,” added Davey.

“Through focused investments in R&D and skill development, this foray into hardware enables us not only to build and own the technology, but also to cultivate the expertise and talent behind it.”

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Five Years of R&D Behind Nathu La

According to Zoho, the Nathu La server motherboard and chassis platform are the outcome of five years of research and development spanning hardware, firmware, and systems management.

Powered by Intel® Xeon® 6 processors, Nathu La is designed to optimize workloads involving virtualization (VM), High Performance Computing (HPC), AI inference, and storage applications, improving the performance of Zoho applications for end users.

The platform incorporates customized power delivery subsystems, an in-house Data Centre Secure Control Module (DC-SCM), and modular chassis configurations compatible with diverse deployment environments.

Zoho also stated that all modular components, including the DC-SCM and Network Interface Card (NIC), were designed internally by its hardware engineering team and assembled through Indian Electronic Manufacturing Services (EMS) partners, enabling end-to-end domestic value addition.

The company has filed more than five patents covering thermal management technologies and cost-optimized server architecture designs.

Focus on Technological Sovereignty

Zoho said Nathu La has been engineered with hardware-rooted security across every layer of the technology stack. Its indigenous intellectual property reduces dependency on foreign entities for security audits, firmware updates, and licensing continuity.

The company added that the platform aligns with Open Source Software (OSS) policies and the highest Local Content Policy requirements for government procurement.

It also supports national initiatives including Make in India, Atmanirbhar Bharat Abhiyaan, and the National Supercomputing Mission (NSM), with the aim of strengthening India’s capabilities in high-performance computing and sovereign digital infrastructure.

Author

  • Salil Urunkar

    Salil Urunkar is a senior journalist and the editorial mind behind Sahyadri Startups. With years of experience covering Pune’s entrepreneurial rise, he’s passionate about telling the real stories of founders, disruptors, and game-changers.

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