TCS’ HyperVault to build 1GW AI data centre campus in Telangana

MUMBAI: Hyderabad is getting ready to compute big. HyperVault, a subsidiary of Tata Consultancy Services (TCS), has secured 264 acres of land in Hyderabad to develop a large-scale artificial intelligence data centre campus with capacity of up to 1GW.

The project, announced on September 5, is expected to require investment of up to Rs 70,000 crore from HyperVault and its partners as the company builds infrastructure aimed at supporting frontier AI companies and hyperscalers.

The campus will be developed in phases, with construction aligned with customer demand and changing technology requirements. At full capacity, it is expected to rank among India’s largest and most advanced AI infrastructure campuses.

The facility will be designed for high-density GPU deployments supporting AI training, inference and other advanced computing workloads. It will also use liquid-cooling technology, alongside green energy and water-neutral design principles.

The Telangana government said the project will strengthen Hyderabad’s position as a hub for AI and advanced digital infrastructure.

The development is also expected to create several thousand direct and indirect jobs and generate activity across areas including power, cooling, networking, construction, engineering and data centre operations.

“This establishes that Hyderabad is now at the forefront of the global AI revolution with a strong focus on infrastructure,” Telangana chief minister A. Revanth Reddy said.

“Access to AI models and compute is fast-becoming public infrastructure and having this compute reside in Telangana gives us an advantage,” he added.

The agreement follows discussions that began earlier this year. Telangana IT and industries minister D. Sridhar Babu said the project originated from a conversation between Revanth Reddy and N. Chandrasekaran, chairman of Tata Sons, in Davos in January.

“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,” Telangana IT and industries minister D. Sridhar Babu said.

He added that the partnership had moved from discussions to a formal agreement within a few months.

For TCS, the Hyderabad campus is part of a broader push to combine physical computing infrastructure with its existing cloud, engineering and AI capabilities.

“HyperVault advances TCS’ Infrastructure-to-Intelligence strategy by bringing together AI-ready infrastructure with our cloud, engineering, enterprise transformation and AI capabilities,” TCS CEO and managing director K Krithivasan said.

He said Hyderabad offered the scale, talent and ecosystem needed to serve global customers and thanked the Telangana government for its support and investment-friendly policies.

HyperVault CEO and managing director Deepesh Kiran Nanda said the facility is being designed around the changing demands of AI computing.

“We are building infrastructure for where AI is going: higher density, liquid cooling, larger power blocks and faster deployment,” HyperVault CEO and managing director Deepesh Kiran Nanda said.

The project comes as demand for AI computing capacity accelerates globally, pushing data centre operators to build facilities capable of supporting increasingly powerful GPUs and energy-intensive workloads.

With up to 1GW of planned capacity, the HyperVault campus could give Hyderabad a sizeable role in that race, while creating a new piece of India’s rapidly expanding AI infrastructure backbone.