Tata Consultancy Services (NSE: TCS) has partnered with global investment firm TPG to develop HyperVault, an AI-focused data center platform in India. The collaboration plans to build data centers with more than one gigawatt of capacity over the next few years, providing critical infrastructure for AI, cloud, and enterprise workloads.
Investment and Shareholding Structure
The HyperVault platform will be funded through equity and debt, with a total planned investment of ₹18,000 crore. TPG is expected to contribute up to ₹8,820 crore, potentially acquiring a 27.5–49% stake in the project. This arrangement is designed to ensure stable operations and long-term growth for the data centers.
TPG’s Role and Expertise
TPG will participate through its specialized platforms, including TPG Rise Climate and TPG Asia Real Estate, bringing expertise in infrastructure, clean energy, technology, and property development. TCS Chairman N. Chandrasekaran emphasized that the partnership will expand AI-ready capabilities in India, while TPG Executive Chairman Jim Coulter noted that data centers sit at the intersection of technology, green energy, and real estate, reinforcing India’s digital infrastructure.
TCS Financial Strength
TCS’s robust financial performance underpins its ability to invest in large-scale infrastructure projects. Revenue increased from ₹64,259 crore in Q2 FY25 to ₹65,799 crore in Q2 FY26. EBITDA rose to ₹17,978 crore, with margins around 26–27%. Net profit and earnings per share remained stable, reflecting the company’s diversified business across BFSI, Consumer, Life Sciences, Manufacturing, and other sectors.
Segment Performance
Growth of India’s Data Center Market
India’s data center capacity currently stands at 1.5 GW and is projected to exceed 10 GW by 2030, driven by cloud adoption, AI, and digital transformation. HyperVault data centers will feature high-density racks, liquid cooling systems, energy-efficient designs, and interconnections across key cloud regions, ensuring secure and reliable operations for hyperscalers and enterprise clients.
Technical Analysis
TCS is showing signs of recovery, trading above the 51-day EMA after a prolonged downtrend. Price momentum has improved with recent higher lows, while RSI around 62 indicates strengthening bullish sentiment without being overbought. Sustained movement above the EMA and rising RSI suggest improving trend conditions.
Conclusion
TCS’s partnership with TPG to build HyperVault underscores its commitment to strengthening India’s AI and data infrastructure. Backed by strong financials, rising market demand, and improving technical momentum, the initiative positions TCS for long-term growth while supporting the country’s expanding digital and cloud ecosystem.