Mumbai: Tata Consultancy Services (TCS) and the Tata Group on Thursday announced a sweeping strategic partnership with OpenAI to accelerate artificial intelligence adoption across enterprise, consumer and social sectors, including the development of large-scale AI infrastructure in India.
Under the multi-pronged collaboration, TCS will build 100 megawatts (MW) of AI-ready infrastructure in the initial phase, with an option to scale up to 1 gigawatt (GW), positioning India as a global AI infrastructure hub. The initiative will be led by TCS’ HyperVault unit, which was set up in 2025 to deliver secure, large-scale, green-energy-powered AI data centres.
The partnership also includes deployment of Enterprise ChatGPT to several thousand Tata Group employees, aimed at boosting productivity and accelerating innovation across group companies. TCS will additionally leverage OpenAI’s Codex capabilities to enhance software engineering outcomes.
In a joint statement, the companies said they will co-develop industry-specific “Agentic AI” solutions, combining OpenAI’s advanced AI platforms with TCS’ domain expertise across verticals. The alliance will also pursue joint go-to-market initiatives, enabling Indian and global enterprises to deploy and scale AI solutions tailored to their operational contexts.
Sam Altman, CEO of OpenAI, said India’s rapid AI adoption, strong talent base and government backing make it a strategic market. “Through OpenAI for India and our partnership with Tata Group, we aim to build the infrastructure, skills and local partnerships required to build AI with India, for India and in India,” he said.
N Chandrasekaran, Chairman of Tata Sons, described the collaboration as a milestone in India’s ambition to become a global AI leader. He added that the partnership would not only transform industries but also help skill India’s youth for the AI era.
As part of the social impact agenda, the OpenAI Foundation and TCS will collaborate to provide AI training and resources to Indian youth, targeting improved livelihoods for at least one million young people. The initiative will include development of AI toolkits for NGOs and youth-focused programmes.
The announcement underscores intensifying competition among global AI majors to deepen their India footprint, even as domestic IT services companies reposition themselves as AI-first transformation partners.
Shares of TCS (BSE: 532540; NSE: TCS) are expected to be in focus as investors assess the long-term revenue and infrastructure play embedded in the OpenAI alliance, particularly amid rising enterprise demand for generative AI so lutions.