TCS' HyperVault to Build 1 GW AI Data Centre Campus in Hyderabad by 2026

30 SEC SUMMARY

In 2026, TCS' HyperVault plans to construct a 1 GW AI data centre campus in Hyderabad, investing up to ₹70,000 Cr. This initiative will create thousands of jobs and significantly boost India's local AI infrastructure.

TABLE OF CONTENTS

1. Introduction
2. Project Details
3. Impact on Local Economy
4. Partnerships and Collaborations
5. Broader Industry Trends
6. Key Highlights
7. FAQs
8. Conclusion
9. Call-to-Action

Introduction

Tata Consultancy Services (TCS) is making a significant move in the AI infrastructure sector by planning to build a 1 GW AI data centre campus in Hyderabad. This ambitious project, led by TCS’ data centre subsidiary HyperVault, aims to create a high-density, liquid-cooled compute workload hub for frontier AI companies and hyperscalers.

Project Details

HyperVault has secured 264 acres of land in Hyderabad to develop this state-of-the-art facility. The campus will be built in phases according to market demand and is expected to rank among India’s largest AI infrastructure sites once fully operational. The project will incorporate green energy and water-neutral design principles, aligning with global sustainability goals.

Impact on Local Economy

The AI data centre campus is anticipated to generate thousands of direct and indirect jobs in the region, significantly contributing to the local economy. This initiative underscores TCS’ commitment to infrastructure-to-intelligence strategy, integrating AI-ready infrastructure with cloud, engineering, enterprise transformation, and AI capabilities.

Partnerships and Collaborations

HyperVault has formed strategic partnerships to scale its operations. Notably, in November 2025, HyperVault brought in global investment firm TPG as a major investor and strategic partner, committing up to ₹18,000 Cr (about $2 Bn) in a mix of equity and debt. Additionally, HyperVault has partnered with AI juggernaut OpenAI to build the latter’s AI infrastructure in India.

Broader Industry Trends

TCS’ initiative reflects a broader trend among India’s conglomerates, including Adani Group and Reliance, who are investing heavily in local AI infrastructure. For instance, HCLTech has partnered with Sarvam to set up an AI data centre in Odisha, while L&T has established its Vyoma.AI subsidiary for similar purposes. The Adani Group has also joined hands with US-based Jabil to build AI data centre infrastructure in India. 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.

Key Highlights

• TCS’ HyperVault to build a 1 GW AI data centre campus in Hyderabad by 2026
• Project investment: up to ₹70,000 Cr
• Expected to create thousands of jobs
• Incorporates green energy and water-neutral design principles

FAQs

What is the capacity of the AI data centre campus?

The AI data centre campus will have a capacity of up to 1 GW.

When will the project be completed?

The project is expected to be completed by 2026.

What are the sustainability features of the data centre?

The data centre will incorporate green energy and water-neutral design principles.

Conclusion

TCS’ HyperVault’s ambitious plan to build a 1 GW AI data centre campus in Hyderabad by 2026 is set to revolutionize India’s AI infrastructure landscape. This project not only promises to create thousands of jobs but also aligns with global sustainability goals, marking a significant step forward in the country’s tech ecosystem.

Call-to-Action

Stay ahead with the latest news, funding, startup financials, and government policies on the hottest tech industries in the Indian startup ecosystem. Join 10,000+ founders, investors, and operators on blogy.in to explore what else Inc42 has to offer.