TCS’ data centre subsidiary has secured 264 acres to develop a 1 GW AI data centre campus in Hyderabad
TCS’ push underscores a broader shift among India’s conglomerates, such as Adani Group and Reliance, who are now building the local AI infrastructure layer
The liquid-cooled data centre campus will host compute workloads for frontier AI companies and hyperscalers, and will create thousands of direct and indirect jobs
Tata Consultancy Services’ (TCS) data centre subsidiary, HyperVault, and its partners will invest up to ₹70,000 Cr to build and operate a large-scale AI data centre campus in Hyderabad with a capacity of up to 1 GW capacity.
In a filing with the exchanges, TCS said that it has secured 264 acres of land in Hyderabad to develop the facility. Once completed, the campus will offer high-density, liquid-cooled compute workloads for frontier AI companies and hyperscalers.
The project will be executed in phases according to the 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.
As per 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.
TCS established HyperVault in October last year to build AI-focussed data centres across India.
In November 2025, the IT giant also 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 that they would invest up to ₹18,000 Cr (about $2 Bn) in a mix of equity and debt over the next few years in order to set up HyperVault’s data centres.
Notably, HyperVault has also partnered with AI juggernaut OpenAI to build the latter’s AI infrastructure in India.
TCS’ latest move underscores a broader shift among India’s legacy conglomerates, who are now building the local AI infrastructure layer. For instance, HCLTech has partnered with portfolio startup Sarvam to set up an AI data centre in Odisha, while L&T also 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 ₹10 Lakh Cr in AI over the next seven years, including setting up a 168 MW AI-enabled data centre in Gujarat’s Jamnagar.
Source: Inc42
