OpenAI Collaborates with Tata Group for AI Data Centres in India

OpenAI has announced a strategic partnership with India's Tata Group to establish 100 megawatts of artificial intelligence (AI)-ready data centre capacity in the country. This initiative aims to scale up to one gigawatt, marking a significant expansion of OpenAI's infrastructure and enterprise footprint in one of its fastest-growing markets.

The agreement, revealed on Thursday, aligns with OpenAI's Stargate project, which focuses on creating AI-driven infrastructure and enhancing enterprise usage globally. Under this collaboration, OpenAI will be the inaugural client of Tata Consultancy Services’ HyperVault data centre division, starting with the initial 100 megawatts of capacity.

The partnership also entails the implementation of ChatGPT Enterprise across Tata’s workforce and aims to standardise AI-centric software development using OpenAI’s tools. This effort falls under the initiative "OpenAI for India," which reflects the increasing number of users engaging with ChatGPT in the country. According to CEO Sam Altman, India boasts over 100 million weekly ChatGPT users, comprising students, educators, developers, and entrepreneurs.

The establishment of local data centre capacity is crucial for OpenAI to operate its advanced models within India. This will enhance performance by reducing latency and fulfilling data residency, security, and compliance obligations necessary for regulated sectors and government tasks. Hosting computing resources domestically is especially important for businesses managing sensitive information and adhering to data localisation and digital infrastructure regulations. This could potentially broaden OpenAI's access to enterprise clients needing local data processing capabilities.

The project's initial commitment of 100 megawatts reflects a significant investment in AI infrastructure, as training and executing large models depend on expansive clusters of graphics processing units (GPUs). Expanding to one gigawatt over time could position the Tata facility as one of the leading AI-focused data centre projects globally, showcasing OpenAI’s long-term vision in India.

In addition to infrastructure development, OpenAI and Tata Group are set to engage in a strategic collaboration aimed at expediting AI adoption throughout Tata’s diverse businesses. The conglomerate intends to introduce ChatGPT Enterprise to its employees in stages, starting with hundreds of thousands at Tata Consultancy Services (TCS). This rollout is projected to be one of the largest AI deployments for enterprises globally.

TCS plans to utilise OpenAI’s Codex tools to create a standardised approach to AI-driven software development across its engineering teams. N Chandrasekaran, chairman of Tata Sons, noted that the collaboration with OpenAI would be instrumental in establishing “state-of-the-art AI infrastructure in India” and enhancing the skill set of the country’s workforce for the AI landscape.

Details surrounding the financial aspects of this deal, including whether OpenAI is investing capital in HyperVault or leasing space, have not been disclosed. Previously, in November 2025, TCS received backing from the private equity firm TPG to develop AI-ready infrastructure in India via its HyperVault data centre division. This platform is supported by an anticipated ₹180 billion (approximately $2 billion) investment, designed to facilitate substantial compute workloads for large-scale customers.

OpenAI is also looking to broaden its certification offerings in India, with TCS emerging as the first institution outside the United States to participate. These certifications aim to assist professionals in developing practical AI skills relevant across various sectors and roles. This announcement continues a trend of OpenAI partnering with notable Indian organisations within sectors such as engineering, healthcare, and design.

To further cement its presence in India, OpenAI plans to establish new offices in Mumbai and Bengaluru later this year, in addition to its existing offices in New Delhi. This expansion aligns with the objective to enhance enterprise collaborations, foster community engagement among developers, and navigate local regulatory frameworks as OpenAI broadens its operations.

The announcement was made during India’s AI Impact Summit in New Delhi, where prominent leaders in the AI field, including Sam Altman, Anthropic CEO Dario Amodei, and Google CEO Sundar Pichai, gathered alongside Indian startups and enterprises to exhibit AI applications across various sectors like finance, education, and healthcare.

OpenAI has been actively working to enhance its presence in India, entering various partnerships with companies such as Pine Labs, JioHotstar, Eternal, Cars24, HCLTech, PhonePe, CRED, and MakeMyTrip, in efforts to integrate its AI models into consumer platforms, enterprise infrastructures, and digital payment systems in one of the largest internet markets worldwide. Collectively, the development of data centres, enterprise implementations, and a growing network of partners showcases OpenAI's most comprehensive initiative to establish advanced AI infrastructure and applications in India.