New Delhi: Tata Consultancy Services is preparing a major push into AI infrastructure. The company has signed agreements with TPG Terabyte Bidco to invest up to Rs 18,000 crore in its data centre subsidiary HyperVault, marking one of the largest planned capital commitments in India’s emerging AI data centre space.
According to TCS’ stock exchange filing, the investment will be deployed over the next few years through a mix of equity and compulsorily convertible preference shares. TCS and TPG will invest in a 51:49 ratio. TPG’s contribution could rise to Rs 8,820 crore, giving it a potential stake of 27.5% to 49% in HyperVault once the transaction is completed.
HyperVault will become the central vehicle for TCS’ AI and non-AI data centre strategy. The unit targets more than 1 GW of AI-ready capacity at a time when India’s data centre market is projected to expand from roughly 1.5 GW today to over 10 GW by 2030, driven by accelerating AI adoption and cloud demand. The proposed investment signals how large IT players are repositioning themselves to meet the rising need for high-performance infrastructure.
TCS said the partnership is expected to optimise its capital expenditure and support deeper engagement with hyperscalers and AI companies, which are increasingly seeking long-term data centre partners. For TPG, the deal aligns with its growing interest in digital infrastructure as AI workloads intensify globally.
The agreement remains subject to customary approvals. If finalised, the investment will position HyperVault as a significant participant in India’s next phase of data centre expansion, reflecting a broader shift among technology service providers toward infrastructure capabilities tailored for AI-driven workloads.
