In a significant development for India’s tech sector, OpenAI has signed on as the inaugural customer for the new data center business launched by Tata Consultancy Services. The partnership will begin with a substantial 100 megawatts of capacity.
This agreement is a key part of the massive, multi-year Stargate initiative, a global project backed by major financial investors with a budget estimated at $500 billion. The goal of Stargate is to construct a network of advanced data centers specifically designed for training complex AI models and running AI-powered applications.
The deal represents a major vote of confidence for Tata’s strategic direction. Last year, the company announced a significant shift, planning to invest up to $7 billion to build a massive 1-gigawatt data center unit in India.
India is currently experiencing a surge in large-scale investments in AI infrastructure. Global giants like Google, Amazon, and Meta are ramping up their spending in the country, alongside prominent domestic companies.
In a separate but related move, the parent company of Tata Consultancy Services also plans to roll out ChatGPT Enterprise to its entire workforce over the next several years. The deployment will begin with hundreds of thousands of employees, integrating the AI tool across the corporation. The announcement comes as OpenAI revealed that India now boasts more than 100 million weekly users of ChatGPT.
