The Tata Group and OpenAI have entered a major strategic partnership aimed at strengthening India’s artificial intelligence (AI) infrastructure and making India a leading country in AI technology. This agreement was revealed at the India AI Impact Summit, where leaders from both sides outlined how the collaboration will work.

At the centre of this partnership is the plan to build powerful AI-ready data centre capacity in India. The first phase will see Tata Consultancy Services (TCS) design and build AI infrastructure with an initial capacity of 100 megawatts (MW). Over time, this capacity could be expanded up to 1,000 MW (or 1 gigawatt). This infrastructure will be used to support next-generation AI training and high-performance computing workloads.

The main focus of the tie-up is to build and scale AI infrastructure that is locally based in India, with a strong emphasis on data security and residency. This means the data and computing power will stay within India rather than being handled overseas. The partnership is part of the global Stargate initiative, a multi-year global project designed to establish large-scale AI compute systems capable of supporting training and inferencing for advanced AI models.

Under this partnership:

• OpenAI will become the first customer of TCS’ new data centre business, known as HyperVault.
• TCS will work on delivering AI infrastructure that supports India’s long-term computing needs.
• TCS is already planning to expand its AI data centre strategy to eventually reach 1GW of capacity.

Beyond the infrastructure work, the Tata Group will also start using OpenAI’s AI tools across its companies. Over the next few years, Tata plans to roll out ChatGPT Enterprise to hundreds of thousands of employees, starting with staff at TCS. This deployment will make it one of the largest enterprise-level adoptions of OpenAI’s tools anywhere in the world.

Moreover, TCS will adopt OpenAI’s Codex technology, which helps with AI-assisted coding and software development work. The aim is to standardise AI-native software development across teams and improve productivity.

OpenAI will also expand its AI certification programme in India. TCS will be the first organisation outside the United States to take part in this programme. These certifications are meant to help professionals gain real, practical AI skills that can be used across roles and different industries.

During the announcement, top leaders from both organisations shared their views. N. Chandrasekaran, Chairman of Tata Sons, said the partnership is a “unique opportunity” to build advanced AI infrastructure in India and help transform industries. He explained that the infrastructure being developed is “designed as a purpose-built AI compute optimised for training and inference workloads.”

Chandrasekaran also added that alongside this infrastructure work, Tata is creating platforms to make AI “accessible across the full diversity of Indian contexts.” This includes building AI data insights platforms and industrial-level AI systems in partnership with entities like Tata Communications, which will jointly work on AI operating systems for industries.

Sam Altman, CEO of OpenAI, said the partnership reflects India’s strong position in the global AI landscape. He stated, “India is already leading the way in AI adoption, and with its talent, ambition, and strong government support, it is well placed to help shape its future. Through OpenAI for India and our partnership with the Tata Group, we’re working together to build the infrastructure, skills, and local partnerships needed to build AI with India, for India, and in India, so that more people across the country can access and benefit from it.”

This quote highlights OpenAI’s confidence in India’s existing strengths in AI and its intention to grow local partnerships, infrastructure, and opportunities for people across the country.

This collaboration is significant for several reasons:

1. Strengthening India’s AI Foundation – Building large-scale data centre capacity shows that India wants to move beyond being users of AI to becoming a leader in AI infrastructure and innovation.
2. Boosting Skills and Jobs – With AI certification programmes and widespread deployment of AI tools like ChatGPT Enterprise, many professionals in India could become more skilled and job-ready for the AI era.
3. Global Positioning – This partnership positions India as a strategic partner for global AI initiatives, while also helping Indian businesses and industries adopt advanced AI solutions.

By working together, Tata Group and OpenAI aim to accelerate innovation, improve productivity, and put India at the centre of the global AI transformation.