Megha Engineering and Infrastructures Ltd (MEIL), an infrastructure company with a revenue of ₹55,000 crore last year, has forayed into the IT business by forging a 50:50 joint venture with Abu Dhabi-based Analog.The JV is planning to invest $300-500 million over the next three years to develop physical intelligence solutions for urban areas.P V Krishna Reddy, Managing Director of MEIL, said the venture will focus on deploying “robo-drones” and other physical intelligence solutions to address critical urban challenges, including traffic and security.“Preliminary work is already underway, with a pilot project currently targeting traffic management, power grid efficiency, and public service enhancements across the education and healthcare sectors within a 5-kilometre radius of the State secretariat,” he said.Physical intelligence“Physical intelligence is the capacity of machines to perceive, understand, and act within the real world. Not through rigid programming but through continuous learning,” Reddy said.Alex Kipman, Founder and CEO of Analog, said that the two companies would invest in long-term capability creation, talent development, and ecosystem building in the country.Beyond the physical intelligence JV, Reddy said the company was planning to establish a cell and battery manufacturing facility and was exploring electric-car production, with an official announcement expected within the next two to three months.Ruling out a partnership with Chinese automaker BYD, he said that the company was in advanced discussions with a global company.Reddy said MEIL’s current order book stands at nearly ₹2.5 lakh crore, which is expected to be executed over the next four years.Published on July 1, 2026