HYDERABAD: Tata Consultancy Services (TCS) subsidiary HyperVault will develop an artificial intelligence (AI) data centre campus with a capacity of up to 1 gigawatt (GW) on more than 250 acres in Hyderabad, with the project involving an investment of up to Rs 70,000 crore. The project is said to be the largest deal between a state government and private sector participant.
HyperVault and its partners are expected to invest the amount towards building and managing the large-scale infrastructure, which will cater to frontier AI companies, hyperscalers and global enterprises.
The project is estimated to generate around 7,000 direct and indirect jobs. The campus will feature high-density, liquid-cooled computing infrastructure and is planned to incorporate green energy and water-neutral design principles.
The State government described the project as a major addition to the state’s AI and digital infrastructure ecosystem. Beyond the data centre campus, the project is expected to drive activity in sectors including power, cooling, networking, construction, engineering and operations.
Terming the project “historic”, Chief Minister Revanth Reddy, who met officials from TCS’ HyperVault, said access to AI models and computing capacity was increasingly becoming akin to public infrastructure and that having such computing capacity located in Telangana would provide the state with an advantage.
“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,” he said. The officials were asked to complete the project by June 2, 2028 coinciding with Telangana Formation Day.
IT and Industries Minister D Sridhar Babu said the project had its origins in a meeting between Revanth Reddy and Tata Sons Chairman N Chandrasekaran in Davos in January this year. “We tell the investors and corporations across the world, Telangana Means Business. We move at speed and with clarity of process that matches the expectations of the tech and corporate world,” he said. According to the government, Telangana emerged ahead of five competing states to secure the project.
TCS CEO K Krithivasan said HyperVault would combine AI-ready infrastructure with TCS’ cloud, engineering, enterprise transformation and AI capabilities. He said Hyderabad offered the scale, talent and ecosystem required to serve global customers.
HyperVault AI Data Center Ltd MD and CEO Deepesh Nanda said the facility would be built around higher-density computing, liquid cooling, larger power blocks and faster deployment to support frontier AI companies and hyperscalers.
