TCS subsidiary Hypervault to develop up to 1 GW AI data center in Hyderabad, invest ₹70,000 crore

Tata Consultancy Services (TCS) said its subsidiary, Hypervault, has secured 264-acre land to develop an AI data center of up to 1 GW capacity in Hyderabad.

HyperVault and its partners are expected to invest up to ₹70,000 crore to build and manage this infrastructure.

The Hyderabad AI data center campus will be purpose-built to serve the needs of frontier AI companies and hyperscalers, enabling high-density GPU deployments for AI training, inference, and advanced computing workloads, the homegrown IT services company said.

Additionally, TCS said the project may catalyse India’s AI infrastructure ecosystem across power, cooling, networking, construction, engineering and operations.

The project will generate “several thousand direct and indirect jobs in the region”.

“This establishes that Hyderabad is now at the forefront of the global AI revolution with a strong focus on infrastructure. This decade is one of Artificial Intelligence. Access to AI models and compute is fast-becoming public infrastructure and having this compute reside in Telangana gives us an advantage,” said Telangana Chief Minister A Revanth Reddy.

IT & Industries Minister D Sridhar Babu said, “This agreement germinated from a conversation between the Hon’ble Chief Minister with N. Chandrasekaran, Chairman of Tata Sons, in Davos in January this year. Since then, within a few months, officials and our friends at HyperVault and TCS have moved at the speed of thought to make this happen,” he said.

K Krithivasan, CEO & MD, TCS, said, “HyperVault advances TCS’ Infrastructure-to-Intelligence strategy by bringing together AI-ready infrastructure with our cloud, engineering, enterprise transformation and AI capabilities. Hyderabad offers the scale, talent and ecosystem to serve global customers.”

Deepesh Kiran Nanda, CEO and MD, HyperVault AI Data Center, said, “We are building infrastructure for where AI is going: higher density, liquid cooling, larger power blocks and faster deployment. Hyderabad gives us the foundation to build that at scale for frontier AI companies and hyperscalers.”