OpenAI taps Tata for 100MW AI data center capacity in India, eyes 1GW

OpenAI is working with India’s Tata Group to secure 100 megawatts of AI-ready data center capacity in the country, with plans to scale to 1 gigawatt. The move is part of a broader effort to deepen the company’s enterprise and infrastructure footprint in one of the fastest-growing markets.

OpenAI announced Thursday that the partnership with the Tata Group is part of the Stargate project, which aims to build an AI-ready infrastructure and expand enterprise adoption globally. OpenAI will be the first customer of Tata Consultancy Services’ HyperVault data center business, starting with a capacity of 100 megawatts. The deal also includes deploying ChatGPT Enterprise across Tata’s workforce and standardizing AI-native software development through OpenAI’s tools.

The partnership, which falls under the ‘OpenAI for India’ initiative, highlights the company’s growing footprint in the country, which has more than 100 million weekly ChatGPT users including students, teachers, developers and entrepreneurs, according to CEO Sam Altman’s recent estimates. The scale of adoption has positioned India as one of OpenAI’s key growth markets as it deepens investment in enterprises and infrastructure in the country.

The local data center capacity allows OpenAI to run its most advanced models in India, reducing latency for users while meeting data location, security and compliance requirements for regulated industries and government workloads. Hosting compute domestically is critical for companies that process sensitive data and operate under data localization and digital infrastructure regulations. These circumstances could increase OpenAI’s access to enterprise customers that require processing in the country.

An initial capacity of 100 megawatts represents a substantial commitment in the context of AI infrastructure, where large-scale model training and inference require power-hungry clusters of graphics processing units, or GPUs. By scaling to 1 gigawatt over time, the Tata facility would be one of the largest AI-focused data center deployments in the world, underscoring the scale of OpenAI’s long-term ambitions in India.

In addition to infrastructure, OpenAI and Tata Group will pursue a strategic inter-company partnership aimed at accelerating AI adoption across Tata’s businesses. The conglomerate plans to roll out ChatGPT Enterprise to its workforce over the coming years, starting with hundreds of thousands of employees at Tata Consultancy Services (TCS), in what would be among the largest enterprise AI deployments globally. TCS also plans to use OpenAI’s Codex tools to standardize AI-native software development across its engineering teams.

N Chandrasekaran, chairman of Tata Sons, said OpenAI’s partnership would help build “state-of-the-art AI infrastructure in India” while supporting efforts to train the country’s workforce for the AI ​​era.

Financial terms of the deal were not disclosed, including whether OpenAI makes a capital investment in HyperVault or leases capacity.

In November 2025, TCS received backing from private equity firm TPG to develop AI-ready infrastructure in India under its HyperVault data center business. The platform is backed by approximately ₹180 billion (approximately $2 billion) in planned investments and is designed to support large-scale computing workloads for hyperscalers and enterprise customers.

OpenAI will also expand its certification programs in India, with TCS becoming the first participating organization outside the United States. The certifications are intended to help professionals build practical AI skills across roles and industries, the company said. The move follows OpenAI’s recent partnerships with leading Indian institutions in engineering, medicine and design.

OpenAI plans to open new offices in Mumbai and Bengaluru later this year, complementing its existing presence in New Delhi as it deepens operations in the country. The expansion is expected to support corporate partnerships, developer engagement and local regulatory coordination as the company expands its footprint in India.

The announcement comes as India hosts its AI Impact Summit in New Delhi, where global AI leaders including Sam Altman, Anthropic CEO Dario Amodei and Google CEO Sundar Pichai will join Indian startups and enterprises to showcase AI applications in sectors such as finance, healthcare and education.

OpenAI has expanded its presence in India through partnerships with companies like Pine Labs, JioHotstar, Eternal, Cars24, HCLTech, PhonePe, CRED and MakeMyTrip, as it looks to embed its models across consumer platforms, enterprise systems and digital payments infrastructure in one of the world’s largest internet markets.

Together, the data center buildout, enterprise deployments and expanding partner ecosystem represent OpenAI’s most comprehensive initiative to anchor advanced AI infrastructure and applications in India.