Thursday, December 4, 2025

Advancements in OpenAI-TCS Collaboration on HyperVault AI Data Center Partnership

OpenAI is in advanced talks with Tata Consultancy Services (TCS) to establish a large-scale AI compute infrastructure in India and develop agentic AI solutions for enterprises, according to The Economic Times. The negotiations involve leasing a minimum of 500 MW data-center capacity from TCS’s new subsidiary, HyperVault, positioning OpenAI as its first anchor tenant. This partnership aims to enhance TCS’s goal of becoming the “world’s largest AI-led services company” by exploring AI solutions across various sectors including BFSI, retail, and manufacturing. TCS executives are currently in the U.S. to finalize commercial terms, with an announcement expected by year-end. Importantly, there are no plans for OpenAI to invest equity in HyperVault, as TCS aims to avoid reliance on a single customer. The collaboration is part of OpenAI’s strategy to expand its AI infrastructure globally. TCS recently received a $1 billion investment from TPG to support HyperVault’s expansion.

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