TCS to Invest Up to Rs 70,000 Cr in 1 GW AI Data Centre Campus in Hyderabad
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Khushi Jain
- September 6, 2026
Tata Consultancy Services’ (TCS) data centre subsidiary, HyperVault, and its partners will invest up to Rs 70,000 Cr to build and operate a large-scale AI data centre campus in Hyderabad with a capacity of up to 1 GW.
In a filing with the exchanges, TCS said it has secured 264 acres of land in Hyderabad to develop the facility. Once completed, the campus aims to offer high-density, liquid-cooled compute workloads for frontier AI companies and hyperscalers.
The project will be executed in phases based on market demand. Once fully developed, the campus will likely rank among India’s largest AI infrastructure sites, incorporating green energy and water-neutral design principles.
According to the IT giant, the project will also generate several thousand direct and indirect jobs in the region.
“HyperVault advances TCS’ infrastructure-to-intelligence strategy by bringing together AI-ready infrastructure with our cloud, engineering, enterprise transformation and AI capabilities,” said TCS managing director and CEO K Krithivasan.
HyperVault’s AI Data Centre Expansion
TCS established HyperVault in October last year to build AI-focused data centres across India.
In November 2025, the IT giant brought in global investment firm TPG as a major investor and strategic partner to scale the new data centre subsidiary. At the time, the two companies said they would invest up to Rs 18,000 Cr (about $2 Bn) in a mix of equity and debt over the next few years to set up HyperVault’s data centres.
HyperVault has also partnered with AI company OpenAI to build the latter’s AI infrastructure in India.
Legacy Companies Build AI Infrastructure
TCS’ latest move comes amid a broader shift among India’s legacy conglomerates, which are building the local AI infrastructure layer.
HCLTech has partnered with portfolio startup Sarvam to set up an AI data centre in Odisha, while L&T has set up its Vyoma.AI subsidiary to build data centres and AI infrastructure.
The Adani Group has also joined hands with US-based manufacturing company Jabil to build AI data centre infrastructure in India.
Meanwhile, Reliance plans to invest up to Rs 10 Lakh Cr in AI over the next seven years, including setting up a 168 MW AI-enabled data centre in Gujarat’s Jamnagar.
FAQs
1. How much will TCS, HyperVault and its partners invest in the Hyderabad AI data centre campus?
They will invest up to Rs 70,000 Cr.
2. What will be the capacity of the planned Hyderabad AI data centre campus?
The campus will have a capacity of up to 1 GW.
3. How much land has TCS secured for the project?
TCS has secured 264 acres of land in Hyderabad.
4. When was HyperVault established?
TCS established HyperVault in October last year to build AI-focused data centres across India.
5. Which other companies are mentioned as building AI infrastructure in India?
HCLTech, L&T, the Adani Group and Reliance are also mentioned in the article.
