Telangana Chief Minister Revanth Reddy has set an ambitious timeline for TCS' HyperVault AI data center project, urging the company to launch the facility by June 2, 2028. Speaking at the announcement, Reddy stated that 'Ground breaking to inauguration, there are 21 months from today. We want to inaugurate your AI data centre on June 2, 2028.' He assured the company of providing all required sanctions and urged TCS to make an investment of ₹1 lakh crore, with the government extending necessary support for the company's requirements. The Chief Minister emphasized that 'This is one of the largest investment in AI data and in Future City (being developed by state government on Hyderabad outskirts).' Reddy termed the project 'historic' for the state and country, stating that '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.'
Tata Consultancy Services' subsidiary HyperVault has secured 264 acres of land in Hyderabad to develop a large-scale AI data center campus of up to 1GW capacity, according to latest reports. The Hyderabad AI data center campus will be purpose-built to serve the needs of frontier AI companies and hyperscalers, enabling high-density GPU deployments for AI training, inference and advanced computing workloads. As per Business Standard, the company has stated that upon completion, this campus will be one of India's largest and most advanced AI infrastructure campuses. The development of the data center campus will be executed in a phased manner, in line with customer demand and technology requirements, with the broader HyperVault platform planned to eventually reach a capacity of more than 1 gigawatt. HyperVault and its partners are expected to invest up to ₹70,000 crore to build and manage this infrastructure.
The project is expected to create 7,000 jobs and will be a significant contributor to Telangana's economic growth strategy. Reddy stated that 'Today TCS and HyperVault announced investment of ₹70,000 crore and the project is estimated to create 7,000 jobs.' The Chief Minister outlined the state's ambitious economic targets, saying 'I want to contribute 10 per cent GDP of this country. I need your (companies) support. I need support from TCS and many other Fortune 500 companies to reach USD one trillion economy by 2034 and a USD three trillion economy by 2047.' He noted that Telangana contributes five per cent to national GDP and the state government wants to contribute more significantly. The facility will feature advanced cooling and connectivity systems, including liquid and direct-to-chip cooling technologies, high-density racks and robust network infrastructure, with its power setup combining renewable energy with measures aimed at ensuring reliable operations.
The project will leverage green energy and water-neutral design principles as part of the build-out, as reported by the IT giant. The campus will be built with infrastructure for where AI is going: higher density, liquid cooling, larger power blocks and faster deployment, as stated by HyperVault CEO Deepesh Kiran Nanda. HyperVault CEO thanked the Government of Telangana for extending its support to the development of the infrastructure that will power intelligence. The planned campus comes as demand for AI computing infrastructure accelerates globally, with hyperscalers and AI companies investing heavily in GPU capacity and data centre infrastructure to support increasingly compute-intensive workloads. The campus will use liquid cooling, direct-to-chip cooling, high rack density and network connectivity, with an energy model combining green power and reliability.
Speaking on the latest project, K Krithivasan, CEO and MD, TCS, said that HyperVault advances TCS' Infrastructure-to-Intelligence strategy by bringing together AI-ready infrastructure with their cloud, engineering, enterprise transformation and AI capabilities. As reported by ET Now, HyperVault CEO Deepesh Kiran Nanda said the data centre is being developed to meet the rapidly increasing demand for specialised AI infrastructure. Krithivasan emphasized that 'Hyderabad offers the scale, talent and ecosystem to serve global customers.' The government wants to attract investment, with Reddy adding that 'Telangana is not competing with other states like Karnataka, Tamil Nadu or Andhra Pradesh. Our role models are China, Germany, Japan, South Korea and Singapore. We want to compete with them and not with neighbouring states.'
