Hyderabad: Tata Consultancy Services (TCS) subsidiary HyperVault will develop a 1GW AI data centre campus in Hyderabad.
The campus will spread across more than 250 acres. Meanwhile, HyperVault and its partners are expected to invest up to Rs.70,000 crore in building and managing the infrastructure.
The project will create an estimated 7,000 direct and indirect jobs. At full capacity, the campus is expected to rank among India’s largest and most advanced AI infrastructure campuses.
Furthermore, the AI data centre will support frontier AI companies, leading hyperscalers and global enterprises. It will provide high-density, liquid-cooled computing infrastructure at scale.
In addition, the campus will use green energy and water-neutral design principles. The project will also support the wider AI infrastructure ecosystem.
That ecosystem will cover power, cooling, networking, construction, engineering and operations.
Chief Minister A. Revanth Reddy described the project as historic for Telangana and India. He said it would reinforce Hyderabad’s position at the forefront of 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.
AI data centre project emerged from Davos meeting
The project took shape after Revanth Reddy met N. Chandrasekaran, Chairman of Tata Sons, in Davos in January 2026.
Since then, Telangana officials, HyperVault and TCS teams have moved quickly to develop the partnership.
Meanwhile, IT and Industries Minister D. Sridhar Babu led the negotiations for the agreement. He described the partnership as a milestone achieved through a fast process.
“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 project emerged from the Davos conversation between Revanth Reddy and Chandrasekaran.
“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.
Telangana competed with five other states before securing the project. As a result, the agreement became the largest deal between a state government and a private sector participant, according to the project highlights.
TCS, HyperVault outline Hyderabad plans
TCS CEO K. Krithivasan said HyperVault would advance TCS’ Infrastructure-to-Intelligence strategy.
He said the strategy would combine AI-ready infrastructure with TCS capabilities in cloud, engineering, enterprise transformation and AI.
Moreover, Krithivasan said Hyderabad offered the scale, talent and ecosystem needed to serve global customers.
HyperVault AI Data Center Limited MD and CEO Deepesh Nanda said the company was building infrastructure for higher-density computing and faster deployment.
He pointed to liquid cooling and larger power blocks as key elements of the infrastructure. In addition, he said Hyderabad provided the foundation to build such infrastructure at scale.
Nanda said the campus would serve frontier AI companies and hyperscalers.
Finally, Revanth Reddy said the agreement represented a major moment for Telangana. He added that the project demonstrated Hyderabad’s role in the global AI revolution.
The planned campus will support advanced AI computing infrastructure as HyperVault develops the project in Hyderabad.