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HCLTech has partnered with AI startup Sarvam and the Odisha government to establish its first AI data center at the upcoming Odisha Sovereign AI Park with a planned investment of INR 14,257 crore. The project is aimed at strengthening India's sovereign AI ecosystem and supporting the development of AI applications for government and enterprise use. Alongside the data center, HCLTech will also set up a Global Technology Center in Bhubaneswar, which is expected to employ around 5,000 people and begin operations by 2028, expanding the company's AI and digital engineering presence in India.
HCLTech has announced plans to establish its first AI data center at the upcoming Odisha Sovereign AI Park in partnership with AI startup Sarvam and the Odisha government. The project will involve a planned capital investment of INR 14,257 crore, including financial assistance from the Odisha government, according to the company's regulatory filing.
The announcement came after a Memorandum of Understanding (MoU) was signed between HCLTech, Sarvam and the Odisha government in the presence of Chief Minister Mohan Charan Majhi, HCLTech Chairperson Roshni Nadar Malhotra, HCLTech CEO and Managing Director C Vijayakumar, and Sarvam Co-Founder Pratyush Kumar.
The company said the project forms part of its planned expansion into the full-stack artificial intelligence market. It stated that the AI data center would strengthen India's sovereign AI ecosystem by combining HCLTech's end-to-end AI capabilities with Sarvam's foundation AI models to develop sector-specific AI applications for both government and private enterprises. The initiative is also expected to address India's growing requirement for sovereign AI infrastructure, where data and AI systems are developed and managed within the country.
Apart from the AI data center, HCLTech and the Odisha government have also entered into a separate MoU to establish a Global Technology Center in Bhubaneswar. The new facility will focus on developing and delivering AI-led digital solutions for global enterprises while strengthening the company's technology and engineering capabilities.
The Global Technology Center is expected to accommodate around 5,000 professionals and is scheduled to commence operations by 2028.
The investment comes at a time when India is accelerating efforts to build domestic AI infrastructure under the IndiaAI Mission, with governments and technology companies increasingly focusing on sovereign AI capabilities, indigenous large language models, AI compute infrastructure and secure data processing within the country. Odisha has also been actively positioning itself as an emerging technology and data center destination through policy support and infrastructure development.
HCLTech currently employs more than 170,000 people across India through its technology campuses and development centers located in Noida, Bengaluru, Chennai, Hyderabad, Pune, Lucknow, Nagpur, Madurai, Vijayawada and GIFT City.
Commenting on the development, HCLTech CEO and Managing Director C Vijayakumar said the project marked an important step in the company's full-stack AI strategy. He added that it would help HCLTech meet the rising demand for sovereign AI solutions while expanding its strategic partnership with Sarvam. He further noted that Odisha's supportive policy environment and infrastructure made it a suitable location for the investment.
Source PTI
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