Key Highlights
- Tata Communications plans to invest ₹4,350 crore (US$400–450 million) in AI-ready connectivity infrastructure
- The company will develop approximately 10,000 km of new long-haul fibre infrastructure across India
- The project aims to connect key data centres and AI hubs through high-speed and low-latency networks
- Tata Communications plans to add approximately 6 Pbps of network capacity
- The company’s existing network capacity stands at 1.25 Pbps with utilisation of around 70%–80%
- The proposed capacity expansion is scheduled between FY2030 and FY2036
- The investment will be financed through operating cash flows
- The first phase will focus on the Mumbai-Pune-Hyderabad-Chennai corridor
- Future expansion will cover data centre hubs including Vizag, Bhubaneswar, Jamnagar and GIFT City
- The network will support AI workloads, hyperscalers, cloud providers and enterprise customers
Tata Communications Limited has announced plans to invest approximately ₹4,350 crore (US$400 million to US$450 million) to build an AI-ready connectivity network across India. The proposed investment will support the development of around 10,000 kilometres of new long-haul fibre infrastructure, aimed at connecting key data centres and AI hubs across the country.
The company said the planned network expansion would establish high-speed, low-latency connectivity infrastructure to support the growing requirements of artificial intelligence (AI), cloud computing and hyperscale data centres. The network will be integrated with Tata Communications’ existing global network backbone to provide connectivity for enterprises, cloud service providers and AI infrastructure operators.
Tata Communications Plans 10,000 Km AI-Ready Fibre Network
The proposed AI Super Highway will expand Tata Communications’ domestic connectivity infrastructure by linking major data centre clusters and AI hubs through a new long-haul fibre network. The infrastructure is intended to support the increasing demand for high-capacity, reliable and low-latency connectivity as businesses deploy AI applications and expand their digital operations.
The company expects the investment to strengthen India’s position as a global destination for AI and cloud connectivity. The network will serve hyperscalers, digital platforms, multinational corporations, Global Capability Centres (GCCs), enterprises and emerging cloud platforms.
According to the company’s announcement, the infrastructure will be designed to meet the connectivity requirements of next-generation AI workloads, which require greater bandwidth, lower latency and reliable network performance.
₹4,350 Crore Capital Expenditure and Network Capacity Expansion
According to the regulatory disclosure, Tata Communications currently has an existing network capacity of 1.25 Pbps, with utilisation estimated at approximately 70% to 80%.
The company has proposed adding around 6 Pbps of network capacity as part of its expansion programme. The capacity addition is scheduled to take place over the financial years 2030 to 2036, according to the filing.
The estimated capital expenditure for the project is ₹4,350 crore, equivalent to approximately US$400 million to US$450 million. Tata Communications plans to finance the investment through operating cash flows.
The planned capacity expansion is expected to increase the company’s ability to accommodate rising demand for data transmission, cloud connectivity and AI-related digital infrastructure.
Mumbai-Pune-Hyderabad-Chennai Corridor to Lead First Phase
The first phase of the AI Super Highway programme will focus on the Mumbai-Pune-Hyderabad-Chennai corridor. The route is identified by the company as an important growth corridor for AI infrastructure and hyperscale data centres.
Subsequent phases are expected to extend connectivity to emerging data centre ecosystems along the eastern and western coasts of India. These locations include Vizag, Bhubaneswar, Jamnagar, GIFT City and other strategic locations.
By connecting key AI and data centre clusters with international cable landing stations, Tata Communications aims to improve connectivity between Indian infrastructure hubs and major global AI centres.
The expansion is intended to support the movement of large volumes of data between domestic data centres, cloud platforms and international networks.
Tata Communications to Expand Existing Enterprise Connectivity
Alongside the new AI-focused infrastructure, Tata Communications plans to continue expanding its existing National Long Distance and metropolitan network footprint.
This parallel expansion is intended to address the current connectivity requirements of enterprise customers and data centres while creating additional capacity for future demand.
The company’s network infrastructure includes more than 500,000 kilometres of subsea optical fibre and over 200,000 kilometres of terrestrial fibre. These assets form part of its global connectivity network.
In June 2026, the company enhanced its Tata Global Network (TGN) capabilities through a plan to develop a new subsea cable system between Mumbai and Singapore. Tata Communications also invested as a consortium member in a new subsea cable system connecting Chennai to Singapore, which is expected to be ready for service in the fourth quarter of 2029.
In 2025, the company integrated TGN IA2 into its global network. The integration was intended to improve performance, increase capacity and strengthen network resilience through greater redundancy and connectivity diversity.
Rising AI Demand Drives Connectivity Infrastructure Investment
The expansion comes as demand for AI computing, cloud services and high-capacity data centres increases the need for advanced digital infrastructure.
AI workloads require reliable connectivity between computing facilities, data storage systems and cloud platforms. Low-latency networks can also help enterprises and cloud providers move data more efficiently between locations.
Tata Communications said its planned investment would build on its existing network infrastructure and support customers as they expand AI-related operations.
The company expects the new connectivity infrastructure to provide a foundation for the growing requirements of hyperscalers, enterprises and digital service providers.
Management Commentary
Ganesh Lakshminarayanan, Managing Director and Chief Executive Officer of Tata Communications, said the company sees an opportunity to address the growing demand for connectivity between data centres as India’s data centre industry expands.
He said the company intends to build on its existing strengths in data centre connectivity and network services while focusing on sustainable growth, capital deployment and long-term value creation.
Rupesh Chokshi, Chief Product and Technology Officer and Executive Vice President and Global Business Head of Network Services at Tata Communications, said AI infrastructure requires networks designed for speed, scale and resilience.
He highlighted the role of the company’s AI Network Fabric in providing high-capacity, low-latency connectivity to AI and data centre hubs.
