TCS scores $1B from TPG to supercharge its AI data centers
Tata Consultancy Services (TCS) just landed a $1 billion investment from global alternate asset management firm TPG to boost its AI data center arm, HyperVault.
This is part of a $1 billion equity investment in a joint venture, with TCS keeping a 51% stake and TPG taking between 27.5% and 49%.
The goal: build next-gen data centers focused on artificial intelligence.
What's HyperVault up to?
Launched in October 2024, HyperVault is aiming high—planning over 1.2 gigawatts of AI-ready data center capacity within the next five to seven years.
This big push is all about meeting the growing needs of cloud and AI companies, while helping TCS offer a full range of AI infrastructure services.
Why this partnership matters
By teaming up with TPG, TCS can expand faster without shouldering all the costs alone.
It's part of a larger $6.5 billion plan for ramping up data center capabilities and making sure they're ready for the future of tech.