Hyderabad: TCS’ HyperVault will develop an AI data centre campus of up to 1GW across more than 250 acres in Hyderabad.
HyperVault and its partners will invest up to Rs 70,000 crore in the project. The investment will cover construction and infrastructure management.
The project will create 7,000 direct and indirect jobs. Moreover, it will support frontier AI companies, hyperscalers and global enterprises.
The purpose-built campus will use high-density, liquid-cooled compute infrastructure. It will also use green energy and water-neutral design principles.
At full build-out, the campus will rank among India’s largest and most advanced AI infrastructure campuses. Therefore, the project will strengthen Telangana’s position in advanced digital infrastructure.
The Telangana government described the agreement as the largest deal between a state government and a private-sector participant. It also said the project would boost India’s wider AI infrastructure ecosystem.
The ecosystem impact will extend beyond the campus. It will support activity across power, cooling, networking, construction, engineering and operations.
Chief Minister A. Revanth Reddy called the project historic for Telangana and India. He said it showed Hyderabad’s leading role in the global AI revolution.
“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,” the Chief Minister said.
The project took shape after a meeting between Revanth Reddy and N Chandrasekaran, Chairman of Tata Sons, in Davos in January 2026.
AI data centre deal followed rapid state negotiations
IT & Industries Minister D. Sridhar Babu led the negotiations for the agreement. He said Telangana moved quickly to secure the project.
“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,” Sridhar Babu said.
He said the agreement grew from the Chief Minister’s conversation with Chandrasekaran in Davos. Since then, officials, HyperVault and TCS worked to advance the project within a few months.
Telangana also beat five competing states to secure the data centre project. As a result, the state will host one of India’s biggest planned AI infrastructure campuses.
K Krithivasan, CEO of TCS, said HyperVault would advance TCS’ Infrastructure-to-Intelligence strategy. The strategy combines AI-ready infrastructure with cloud, engineering, enterprise transformation and AI capabilities.
Krithivasan said Hyderabad offered the scale, talent and ecosystem needed to serve global customers. He also thanked the Telangana government for its support and investment-friendly policies.
Deepesh Nanda, MD and CEO of HyperVault AI Data Center Limited, said the company was building infrastructure for higher-density AI workloads.
He said the facility would use liquid cooling, larger power blocks and faster deployment. According to Nanda, Hyderabad provided the foundation to build such infrastructure at scale.
The AI data centre will add major computing capacity for advanced AI applications. Meanwhile, its planned infrastructure will support global AI companies and hyperscalers.
The project will also reinforce Hyderabad’s role as a strategic hub for artificial intelligence. In addition, it will strengthen Telangana’s position in advanced digital infrastructure.
