TCS arm plans to invest ₹70,000 crore to develop Hyderabad AI data centre; what investors need to know

The purpose-built facility, which will have a capacity of up to 1 Gigawatt (GW), is designed to support frontier AI companies and hyperscalers with high-density, liquid-cooled compute infrastructure on a global scale, the company said in a regulatory filing dated Saturday, September 5.

"HyperVault, a subsidiary of Tata Consultancy Services (TCS), has secured 264 acres of land to develop a large-scale AI data centre campus of up to 1GW capacity in Hyderabad,” the filing read.

The project will be executed in a phased manner in line with customer demands and technology requirements.

Telangana Chief Minister A Revanth Reddy termed the project "historic" for the state and country.

"This establishes that Hyderabad is now at the forefront of the global AI revolution with a strong focus on infrastructure. 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," he said.

The campus will leverage green energy and water-neutral design principles as part of its build-out, the company added.

TCS CEO and Managing Director K Krithivasan said the initiative advances the firm’s "Infrastructure-to-Intelligence" strategy by integrating AI-ready infrastructure with the company’s cloud, AI, and enterprise capabilities.

"Hyderabad offers the scale, talent and ecosystem to serve global customers," Krithivasan said.

TCS stock performance

Shares of TCS closed 0.69% lower at ₹2,304 per unit on the National Stock Exchange (NSE) on Friday, September 4.

The scrip has lost nearly 2% in the past week and 6% over the month. On a year-to-date (YTD) basis, it has fallen about 29%.

While the stock hit a 52-week high of ₹3,350 per equity share on February 3, 2026, it touched a year’s low of ₹1,976.80 apiece on July 1, 2026.

Tata Consultancy Services has a total market capitalisation of ₹8.3 lakh crore as of September 6, 2026, according to data on the NSE.