OpenAI Partners With Tata Group for 100MW AI Data Center in India, Plans 1GW Expansion
OpenAI has partnered with India’s Tata Group to secure 100 megawatts of AI-ready data center capacity in the country, with plans to scale to 1 gigawatt as part of a broader expansion of its enterprise and infrastructure footprint.
The agreement makes OpenAI the first customer of Tata Consultancy Services’ HyperVault data center business, beginning with 100 megawatts of capacity.
OpenAI announced Thursday that the partnership forms part of its Stargate project, an initiative designed to build AI-ready infrastructure and expand enterprise adoption globally. Under the deal, OpenAI will deploy ChatGPT Enterprise across Tata’s workforce and standardize AI-native software development through its tools.
The collaboration falls under the “OpenAI for India” initiative and underscores the company’s deepening presence in one of its fastest-growing markets. According to recent estimates from CEO Sam Altman, India now has more than 100 million weekly ChatGPT users spanning students, teachers, developers, and entrepreneurs.
India’s scale of adoption has positioned it as one of OpenAI’s most important growth markets as the company increases enterprise and infrastructure investments. Hosting advanced models locally is expected to reduce latency for users while meeting data residency, security, and compliance requirements for regulated sectors and government workloads.
Infrastructure Scale and Technical Commitments
An initial 100 megawatts of capacity represents a significant commitment in the context of AI infrastructure, where large-scale model training and inference rely on clusters of graphics processing units, or GPUs, that require substantial power. Scaling to 1 gigawatt over time would place the Tata facility among the largest AI-focused data center deployments globally.
Local data center capacity will allow OpenAI to run its most advanced models within India. In-country hosting addresses data localization and digital infrastructure rules that apply to enterprises handling sensitive data.
Such arrangements are often critical for financial services firms, healthcare providers, and government agencies that must comply with domestic data residency mandates. Domestic compute availability can expand access to enterprise customers that require local processing.
The infrastructure expansion will be executed in collaboration with Tata Consultancy Services, which operates the HyperVault data center business. In November 2025, TCS secured backing from private equity firm TPG to develop AI-ready infrastructure in India under HyperVault.
The platform is backed by about ₹180 billion, or about $2 billion, in planned investment and is designed to support large-scale compute workloads for hyperscalers and enterprise customers. Financial terms of the OpenAI agreement were not disclosed, including whether OpenAI is making a capital investment in HyperVault or leasing capacity.
Enterprise Deployment and Workforce Integration
Beyond infrastructure, OpenAI and Tata Group will pursue a strategic enterprise collaboration aimed at accelerating AI adoption across Tata’s businesses. The conglomerate plans to roll out ChatGPT Enterprise to its workforce over the coming years.
The deployment will begin with hundreds of thousands of employees at TCS, ranking among the largest enterprise AI implementations globally. TCS also intends to use OpenAI’s Codex tools to standardize AI-native software development across its engineering teams.
N Chandrasekaran, chairman of Tata Sons, said the partnership would help build “state-of-the-art AI infrastructure in India” while supporting efforts to skill the country’s workforce for the AI era. OpenAI will expand its certification programs in India, with TCS becoming the first participating organization outside the United States.
The certifications are designed to help professionals build practical AI skills across roles and industries. The initiative follows OpenAI’s recent partnerships with leading Indian institutions in engineering, medicine, and design.
OpenAI also plans to open new offices in Mumbai and Bengaluru later this year, adding to its existing presence in New Delhi. The expansion is expected to support enterprise partnerships, developer engagement, and regulatory coordination as the company scales operations.
The announcement coincides with India hosting its AI Impact Summit in New Delhi, where global AI leaders including Sam Altman, Anthropic CEO Dario Amodei, and Google CEO Sundar Pichai are participating alongside Indian startups and enterprises. The summit features AI applications across sectors such as finance, healthcare, and education.
OpenAI has expanded its presence in India through partnerships with companies including Pine Labs, JioHotstar, Eternal, Cars24, HCLTech, PhonePe, CRED, and MakeMyTrip. Additional information about the company’s global infrastructure strategy is available on the official OpenAI website.
The combined data center build-out, enterprise deployment, workforce certification programs, and partner ecosystem expansion represent OpenAI’s most comprehensive push to date to anchor advanced AI infrastructure and applications within India.