Tata Communications to Build an ‘AI Superhighway’; Investment Expected to Exceed ₹4,000 Crore
Tata Communications is working on a plan to build an AI-ready connectivity network in India. The company intends to invest between $400 million and $450 million (over ₹4,000 crore) in this project. As part of this initiative, approximately 10,000 kilometers of new long-distance fiber network will be laid across the country. The company will also integrate this infrastructure with its existing global network. This will provide AI companies, data centers, and digital businesses in India with connectivity both domestically and internationally.
What is Tata’s ‘AI Superhighway’ Plan?
Tata Communications is developing this network as India’s ‘AI Superhighway.’ It is set to become one of the country’s largest AI-ready connectivity networks—a network specifically designed to meet the demands of artificial intelligence-related operations. Key features will include high-speed connectivity, the capacity to transmit massive volumes of data, and high network reliability. By linking this infrastructure to its global network, the company will enable seamless connectivity for data centers and other enterprises across various locations.
Initial Phase: Connecting Mumbai to Chennai
The company has planned a phased approach for this project. The first phase will focus on establishing a network corridor connecting Mumbai, Pune, Hyderabad, and Chennai—a route the company identifies as critical for the growth of AI and large-scale data center operations. Subsequently, the network will be expanded along the East Coast and into Western India, incorporating cities such as Visakhapatnam, Bhubaneswar, Jamnagar, and GIFT City.
Connecting Data Centers and International Cable Stations
Through this network, AI corridors and clusters of data centers will be linked to international cable landing stations. Cable landing stations are locations where subsea internet cables connect to terrestrial networks. This integration allows a company’s network to provide both domestic connectivity and access to international networks.
Which companies will benefit from this network?
Through this network, Tata Communications aims to provide connectivity to a diverse range of clients, including hyperscalers, neo-cloud companies, AI-focused enterprises, digital businesses, Global Capability Centers (GCCs), and emerging cloud platforms.
The data center connectivity market could exceed $1 billion.
According to Ganesh Lakshminarayanan, Managing Director and CEO of Tata Communications, the market for connectivity between data centers in India could grow to over $1 billion in the coming years. He further noted that a significant portion of the company’s expansion is driven by commitments from major clients who have already expressed interest in utilizing these services.
Rupesh Chokshi, the company’s CPTO and Global Business Head for Network Services, stated that for AI-driven businesses, computing power alone is insufficient; it also requires a network that is high-speed, scalable, and reliable.
