Tata Communications plans to invest $400–450 million to develop a 10,000-km artificial intelligence (AI)-ready fibre network across India. The project will connect key data centres and AI hubs, strengthening the digital infrastructure required to support the country’s expanding AI and cloud computing sectors.
The investment will be implemented in three phases over three to five years. The company plans to fund the project through operating cash flows, with meaningful financial contributions expected from the 2028–29 financial year.
Mumbai–Chennai Corridor to Lead First Phase
The first phase will focus on the Mumbai–Pune–Hyderabad–Chennai corridor, a key route for data centres and hyperscale technology infrastructure.
Subsequent phases will expand the network to additional locations, including Visakhapatnam, Bhubaneswar, Bengaluru, Ahmedabad, Jamnagar and GIFT City in Gujarat. The expansion will connect emerging data centre clusters with international cable landing stations and Tata Communications’ global network.
The planned network is expected to provide approximately 7.2 petabytes of capacity. It will be integrated with the company’s existing global infrastructure to support high-volume data transfers between AI hubs and data centres.
Network Designed for AI and Cloud Computing
The fibre network will provide high-capacity, low-latency and resilient connectivity for global hyperscalers, cloud providers, AI platforms and large enterprises.
AI applications require substantial data transfer capacity and reliable connections between computing facilities. Dedicated fibre infrastructure can help meet these requirements by reducing network delays and improving connectivity between data centres.
Tata Communications said the network would operate as a commercial, multi-tenant platform, with capacity available to customers through long-term contracts. The company is also engaging with businesses across cloud computing, AI development and enterprise technology to support demand for the new infrastructure.
Data Centre Connectivity Market Offers Growth Potential
Tata Communications expects India’s data centre-to-data centre connectivity market to exceed $1 billion over the medium term. Growing AI adoption, cloud services and enterprise digitalisation are increasing demand for reliable, high-capacity networks.
The company already operates a global subsea optical fibre network spanning more than 500,000 km, alongside over 200,000 km of terrestrial fibre. The planned investment will expand its domestic connectivity infrastructure and strengthen links between Indian data centres and international digital networks.
The project positions Tata Communications to address the growing connectivity needs of AI infrastructure providers while supporting India’s emergence as a major destination for digital infrastructure investment.
