Bengaluru, India, October 9, 2025– Tata Consultancy Services (TCS), India’s largest IT services company, has announced plans to establish a new subsidiary focused on world-class AI infrastructure, including a massive 1GW AI data center in India.
The move underscores TCS’s ambition to become the world’s largest AI-led technology services provider, with strategic investments spanning AI infrastructure, talent development, and ecosystem partnerships. The new data center will serve as a cornerstone of TCS’s AI growth, supporting next-generation workloads and advanced computing needs.
TCS unveiled this plan alongside its Q2 FY26 results, which showed a 1.4% rise in net profit to INR 12,075 crore (USD 1.36 billion) and revenue of INR 65,799 crore (USD 7.41 billion). The company also announced an INR 11 (USD 0.12) interim dividend per share, signaling strong financial health as it invests heavily in AI.
This development aligns with the Indian government’s AI Mission, which encourages private sector investment in AI and data center capabilities. By creating a dedicated entity for AI infrastructure, TCS aims to scale operations rapidly and position India as a key hub for AI innovation.
Krithivasan, CEO, TCS, stated, “We are on a journey to become the world’s largest AI-led technology services company. Our journey is anchored in bold transformation across talent, infrastructure, ecosystem partnerships, and customer value.” He further emphasized that the investments, including the building of a world-class AI infrastructure business, demonstrate TCS's commitment to this transformation.
Industry analysts note that the announcement comes at a time of growing demand for AI-ready infrastructure in India and globally, with hyperscale computing becoming critical for enterprise AI adoption. TCS’s investment could set new benchmarks for scale, efficiency, and technological leadership in the region.
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