India’s TCS, TPG Partner To Invest $2 Bn In AI Data Centers

Gigawatt-Scale AI Data Center Venture Launched to Meet Rising Compute Demands
November 27, 2025

HyperVault JV Aims for GW-Scale Infrastructure Amid AI Expansion
Tata Consultancy Services (TCS) has partnered with global investment firm TPG to establish HyperVault AI Data Centre Ltd, a joint venture focused on constructing gigawatt-scale AI data centers across India. The partners have committed up to ₹18,000 crore ($2.1 billion) through a combination of equity and debt over the coming years. TPG will contribute up to ₹8,820 crore ($1 billion) for a 27.5-49% stake, while TCS retains 51% majority ownership.

Fueling India’s Digital Infrastructure Growth
HyperVault will develop liquid-cooled, energy-efficient data centers designed for high-density computing and low-latency connectivity, catering to hyperscalers, AI companies, enterprises, and government needs. N. Chandrasekaran, Chairman of TCS, emphasized the venture’s role in advancing partnerships with global AI leaders and solidifying TCS’s leadership in AI-driven technology services.

India’s current data center capacity of 1.5 GW is projected to exceed 10 GW by 2030, fueled by $94 billion in investments since 2019. Jim Coulter of TPG Rise Climate noted the venture’s integrated approach leveraging renewable energy, cutting-edge technology, and infrastructure expertise.

Strategic Expansion in Competitive Market
This collaboration marks TPG’s third major partnership with Tata Group, reinforcing confidence in India’s digital transformation. TCS plans to integrate HyperVault’s infrastructure with its AI platforms and cloud solutions to deliver comprehensive AI transformation services worldwide.

The venture enters a rapidly evolving market alongside competitors like Reliance, Adani, and Google, accelerating India’s progress in digital sovereignty, job creation, and domestic data capabilities.

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