Tata Consultancy Services (TCS) and Sam Altman’s OpenAI have announced a wide-ranging partnership to drive the use of artificial intelligence in India and around the world. The two organisations plan to work together across different sectors to speed up AI adoption and support digital change.
In the first stage of the project, TCS will build AI infrastructure with a capacity of 100 megawatts. There is also a plan to expand this capacity to 1 gigawatt in the future, depending on demand and progress.
Tata’s TCS and OpenAI form strategic AI partnership to boost innovation across sectors
Tata Consultancy Services (TCS), India’s biggest IT services company, has informed stock exchanges that the Tata Group, TCS and OpenAI have signed a broad strategic agreement. The partnership aims to promote AI-driven innovation across business operations, consumer services and social initiatives.
The collaboration will cover several key areas, with a strong focus on bringing advanced AI solutions to Tata Group companies. A major part of the plan involves building strong AI infrastructure to support future growth and large-scale deployment.
Tata Group–OpenAI alliance to develop Agentic AI and expand enterprise ChatGPT across companies
The partnership will focus on creating industry-focused Agentic AI tools, launching joint market strategies and building strong AI infrastructure, according to CNBC report. The plan goes beyond TCS and will extend across the wider Tata Group. As part of this effort, Enterprise ChatGPT will be introduced for the company and its employees to support daily work and innovation, the report added.
The announcement comes during the India AI Impact Summit, where major IT companies are showcasing their AI plans at a time when there is growing debate about how artificial intelligence could change the technology industry.
OpenAI CEO Sam Altman had said that India is already moving quickly in adopting AI. He had noted that the country’s skilled workforce, strong ambition and government backing put it in a strong position to play a leading role in shaping the future of AI.
TCS will lead AI shift, says N Chandrasekaran
Tata Sons Chairman N Chandrasekaran described the partnership as an important step in India’s goal of becoming a global AI leader, reported CNBC. He said the Tata Group is pleased to work with OpenAI to build advanced AI infrastructure in the country.
Speaking at a panel discussion in New Delhi during the India AI Impact Summit, Chandrasekaran said he sees artificial intelligence as an opportunity for TCS, not a threat. He explained that while some believe IT companies must fight to survive the AI wave, he is confident that TCS will move ahead by making the most of it.
He also said Indian IT firms should not be seen as simple tech vendors. Instead, they act as enterprise integrators that help large organisations manage complex systems. Unlike the consumer market, where a new product can quickly replace an old one, big companies work with legacy systems, supplier networks, large data systems and multiple software platforms. Bringing new technology into such environments takes time.
He pointed out that even major enterprise platforms like SAP and Salesforce took years to be fully adopted, despite earlier concerns that ready-made software would end the need for custom solutions.