HCLTech has announced a massive investment of ₹14,257 crore to set up its first artificial intelligence (AI) data centre in Odisha, marking one of the biggest private sector investments in India’s AI infrastructure. The project, being developed in partnership with AI startup Sarvam and the Odisha government, is expected to strengthen India’s sovereign AI capabilities while positioning the state as a major technology and innovation hub.
The announcement was made during the Odisha AI Summit 2026, where HCLTech signed a memorandum of understanding (MoU) with the state government. The proposed AI data centre will be established at the upcoming Odisha Sovereign AI Park in Bhubaneswar, a dedicated technology ecosystem designed to support next-generation AI research, computing and innovation.
The investment is seen as a significant step towards building India’s own AI infrastructure at a time when governments and businesses are increasingly looking for secure, locally hosted computing facilities. The project also aligns with the Centre’s broader push for Digital India, AI innovation, and data sovereignty, reducing dependence on overseas infrastructure for critical AI workloads.
According to HCLTech, the ₹14,257-crore project includes support and incentives from the Odisha government. The company said the facility will provide advanced computing power required for training and deploying large AI models while enabling enterprises, startups and public institutions to build AI-powered applications within India.
Unlike conventional data centres that mainly provide cloud storage and computing services, the new AI data centre will be equipped with specialised high-performance computing systems capable of handling complex generative AI models and large-scale machine learning applications. These capabilities are becoming increasingly important as organisations adopt AI across sectors such as healthcare, banking, manufacturing, education, agriculture and governance.
The project will combine HCLTech’s expertise in enterprise technology services with Sarvam’s indigenous AI foundation models. Sarvam, one of India’s leading AI startups, has been working on developing multilingual large language models and AI systems tailored to Indian languages and local use cases.
Together, the two companies plan to create AI solutions that address the specific needs of Indian enterprises and government agencies. The focus will be on delivering secure AI services while ensuring that sensitive data remains within the country, an important requirement for sectors dealing with confidential public and financial information.
HCLTech Chairperson Roshni Nadar Malhotra described the investment as a landmark initiative that reflects the company’s commitment to India’s AI ambitions. She said HCLTech has played a key role in India’s technology journey over the years and now aims to contribute to the country’s emerging sovereign AI ecosystem through long-term investments and strategic partnerships.
She added that the collaboration with the Odisha government and Sarvam would help create an AI ecosystem that supports innovation while enabling India to develop world-class technology capabilities.
HCLTech CEO and Managing Director C. Vijayakumar said the project represents a major milestone in the company’s full-stack AI strategy. He noted that enterprises worldwide are rapidly increasing investments in artificial intelligence, creating strong demand for reliable AI infrastructure.
According to him, Odisha has emerged as an attractive destination for advanced technology investments because of its progressive industrial policies, skilled workforce and improving digital infrastructure. He said the company looks forward to building a robust AI ecosystem in the state that can support customers across India and global markets.
Sarvam Co-founder Vivek Raghavan said the partnership would help accelerate India’s journey towards becoming a global AI leader. He noted that access to domestic computing infrastructure is essential for developing AI models designed specifically for India’s languages, businesses and public services.
Industry experts believe the project will play a crucial role in reducing India’s dependence on foreign AI infrastructure. Most advanced AI models today rely on expensive computing facilities located outside the country. Building high-performance AI infrastructure within India is expected to improve data security, lower operational costs and encourage domestic AI innovation.
The Odisha government has also described the investment as a milestone in its efforts to transform the state into a major technology destination. Officials believe the AI data centre will attract additional investments in cloud computing, semiconductor technologies, AI research and digital services, creating a larger innovation ecosystem around Bhubaneswar.
Alongside the AI data centre, HCLTech has signed a separate agreement with the state government to establish a Global Technology Center in Bhubaneswar. The new campus will have the capacity to accommodate around 5,000 technology professionals and is expected to become operational by 2028.
The technology centre will support software engineering, AI development, cloud services and digital transformation projects while creating high-skilled employment opportunities for engineers and technology graduates from Odisha and neighbouring states.
The twin projects are expected to significantly boost the state’s digital economy while encouraging startups, research institutions and academic organisations to collaborate on AI innovation. Industry observers believe the presence of advanced computing infrastructure will make it easier for Indian startups to build and test AI products without relying heavily on overseas cloud providers.
The announcement also follows HCLTech’s recent strategic investment in Sarvam, reinforcing the company’s ambition to expand beyond traditional IT services into AI platforms, enterprise AI applications and next-generation digital infrastructure.
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