TCS to Build $6.7 Billion AI Data Centre Network in India

Tata Consultancy Services (TCS) has announced plans to invest $6–6.7 billion over the next seven years to build a 1 gigawatt AI data centre network in India — its biggest capital investment so far.

The initiative marks TCS’s entry into AI-led infrastructure, with the first phase expected to generate revenue within 18–24 months.

All facilities will be located within India, aligning with the government’s data localisation policy. The company will also form a new subsidiary dedicated to managing data centres and AI infrastructure.

TCS CEO K Krithivasan said the investment will be funded through a mix of equity and debt and implemented in stages.

Industry analysts say the shift from a pure services model to asset-heavy operations could impact short-term margins but may strengthen long-term positioning in AI infrastructure.