Tata Acquires Land in India for Data Centers Potentially Serving OpenAI

The technology arm of Indian conglomerate Tata Group has reportedly secured land parcels in southern and western India to build data centers that could be used by OpenAI, signaling a deepening partnership between the two companies in India’s expanding AI infrastructure landscape.

According to a report by The Economic Times, the government of Andhra Pradesh, a state on India’s southeastern coast, has allotted 200 acres of land to Tata Consultancy Services (TCS) in the Anakapalli suburb, approximately 35 kilometers from the city of Visakhapatnam. Separately, TCS has also purchased an 88-acre plot in the Bopkhel suburb, located about 25 kilometers north of Pune in the western state of Maharashtra. While the report does not explicitly confirm that these sites are intended for OpenAI, the land acquisitions come months after the two companies announced a major collaboration.

In February, OpenAI revealed that Tata would serve as a partner in its "OpenAI for India" initiative, an ambitious plan to build local, AI-ready data center capacity. As part of that announcement, OpenAI said it would become the first customer of HyperVault, Tata’s dedicated data center business, starting with 100 megawatts of capacity, with potential to scale to one gigawatt. HyperVault was launched in October 2025 with a goal of constructing one gigawatt of data center capacity globally.

The current scale of TCS’s data center footprint remains unclear. However, its sister company, Tata Communications, reportedly operates around 22 data centers across 16 markets in five countries: India, the United Kingdom, Singapore, Portugal, and the United States. The Tata Group, founded in the 1860s, has evolved from a trading firm into one of India’s largest conglomerates. TCS itself was established in 1968 as Tata Computer Systems, initially providing punch card services to sister company TISCO, now Tata Steel.

Beyond India, OpenAI is also developing data center projects in the United States, Norway, the United Arab Emirates, Australia, and South Korea, with potential campuses under consideration in Argentina and Canada. The company withdrew from a UK investment pledge in April, stating it would proceed only when regulatory conditions and energy costs enable long-term infrastructure investment. The latest land acquisitions in India underscore the strategic importance of the region for OpenAI’s global expansion plans.