1GW, 250+ acres, Rs 70,000 crore: Inside TCS-HyperVault’s Hyderabad AI campus

Hyderabad, Telangana: Telangana is set to become home to a massive artificial intelligence infrastructure project after TCS subsidiary HyperVault signed a Memorandum of Understanding (MoU) with the state government for an AI data centre campus involving an investment of around Rs 70,000 crore.

The proposed facility in Hyderabad is being billed as one of India’s largest AI data centre campuses and is expected to significantly expand the country’s high-performance computing infrastructure.

Here is what we know about the project so far:

HyperVault, a subsidiary of Tata Consultancy Services (TCS), along with its partner companies, will develop an advanced AI data centre campus in Hyderabad.

The project is expected to involve an investment of approximately Rs 70,000 crore.

The campus will be spread across more than 250 acres and will have a planned capacity of 1 gigawatt (1,000 megawatts).

Where will it come up?

The AI data centre campus will be established in Hyderabad, Telangana.

The state government said the project is expected to strengthen Hyderabad’s position as a global destination for AI and data centre infrastructure.

The facility will cater to large-scale computing requirements of leading AI companies, hyperscalers and global enterprises.

The project is expected to generate around 7,000 direct and indirect employment opportunities.

Apart from jobs directly linked to data centre operations, the investment is expected to create opportunities across allied industries.

These include power, cooling, networking, construction, engineering and data centre operations.

What technology will the campus use?

The proposed facility is expected to feature advanced high-performance computing systems designed to support large-scale AI workloads.

It will also incorporate liquid-cooling technologies, which are increasingly important for managing the high heat generated by advanced computing infrastructure.

The state government said the campus will also focus on environmental sustainability, with plans to use green energy and adopt a water-neutral design.

Who was involved in the discussions?

A TCS delegation met Telangana Chief Minister A. Revanth Reddy at the Secretariat on Saturday to discuss the project.

TCS CEO K Krithivasan, COO Aarthi Subramanian, HyperVault President V Rajanna and HyperVault CEO and Managing Director Deepesh Nanda attended the meeting.

OpenAI Chief Technology Officer Uday Rudraraju also joined the meeting virtually from the United States.

Telangana IT and Industries Minister Duddilla Sridhar Babu, along with Ministers N Uttam Kumar Reddy, Komatireddy Venkat Reddy and Adluri Laxman Kumar, was also present.

Senior state government officials, including Chief Secretary Sanjay Jaju, Government Advisor K Ramakrishna Rao, Invest Telangana CEO B Ajit Reddy and TGIIC Managing Director K Shashank, attended the meeting.

Chief Minister Revanth Reddy described the project as a historic initiative for both Telangana and India, and said Hyderabad was emerging as a global leader in the AI revolution.

He said AI models and computing capacity could become critical public infrastructure in the future, making the creation of such capabilities in Telangana a major strategic advantage for the state.

Reddy congratulated the TCS representatives on the investment and assured the company of all necessary support and cooperation from the Telangana government.

He also said TCS’ decision to locate the project in Telangana aligned with his vision for the state’s development and would provide a strong foundation for the proposed Future City.

The Chief Minister said the investment would also contribute to Telangana’s goal of becoming a USD 3 trillion economy by 2047 under the Telangana Rising Vision-2047.

The project has been under discussion for several months.

Initial discussions took place during a meeting between Chief Minister Revanth Reddy and Tata Sons Chairman N Chandrasekaran in Davos in January 2026.

The Telangana government and TCS subsequently held several rounds of discussions before finalising the project within a few months.

According to the state government, Telangana faced competition from five other states before securing the investment.