As of 5:30 PM IST, Monday 26 October 2026. Based on Tata Communications' press release and exchange-filing details as reported by The Economic Times, Mint and CNBC-TV18 on Monday 26 October 2026. Some timelines differ between reports; see "Timeline" below.
Tata Communications said on Monday it plans to invest $400–450 million (about ₹4,350 crore) to build what it calls India's "AI super highway": around 10,000 km of new long-haul optical fibre connecting the country's main data-centre and AI hubs. The company says this will be one of India's largest AI-ready connectivity networks.
What is being built
- Scale: about 10,000 km of new long-haul fibre, linked to Tata Communications' global network backbone.
- Capacity: the network will add about 6 petabits per second (Pbps). The company's existing network capacity is 1.25 Pbps and is about 70–80% used, according to the exchange filing as reported by ET and CNBC-TV18.
- Funding: from operating cash flows, the company said.
- Customers: global hyperscalers, AI platforms, "neocloud" providers, global capability centres (GCCs) and large enterprises.
The route map
Phase 1: Mumbai–Pune–Hyderabad–Chennai
The first phase covers the Mumbai–Pune–Hyderabad–Chennai corridor, which the company calls one of India's most important AI and hyperscale growth routes. Mint reported that this phase is expected to go live within about three years.
Later phases: the east and west coasts
Later phases will extend the network to newer data-centre clusters, including Vizag, Bhubaneswar, Jamnagar and GIFT City. These corridors will also be linked to India's international cable landing stations, so traffic can move directly between Indian data centres and global AI hubs.
Timeline: what the reports say
Reports describe the timeline in slightly different ways:
- ET and CNBC-TV18, citing the filing, say the 6 Pbps of capacity will be added between FY30 and FY36.
- Mint quoted the company as saying the investment would be made over the next three to five years.
- CNBC-TV18's live blog quoted management as expecting the project to start contributing to revenue in FY28–FY29.
The company has not published a detailed year-by-year schedule, so these dates should be treated as indicative.
Why connectivity matters for AI
"The AI economy needs more than compute. It needs a network built for speed, scale and resilience," said Rupesh Chokshi, Tata Communications' chief product and technology officer. AI training and inference move very large amounts of data between facilities, and delays in that movement can slow AI systems and services such as video streaming and gaming, he told Mint.
MD and CEO Ganesh Lakshminarayanan said the India data-centre-to-data-centre connectivity market "could evolve into a market exceeding USD 1 billion over the medium term". He added that a growing share of the expansion is backed by anchor-customer commitments and contracted demand. Chokshi told Mint the company is targeting an industry-benchmark return on investment of 15–20%.
The bigger picture
Mint, citing Cushman & Wakefield, said India's operational data-centre capacity reached nearly 1.8 GW in the first half of 2026, with another 3.86 GW under construction or planned by 2030. Competition is heating up: Mint noted that Singapore-based Lightstorm has spent $500 million on its own AI corridor and subsea cable projects. Airtel's Nxtra, Google, Adani and Reliance are also investing heavily in Indian data centres.
Tata Communications says it already runs more than 500,000 km of subsea fibre and more than 200,000 km of terrestrial fibre worldwide. In June 2026 it announced plans for a new Mumbai–Singapore subsea cable.
How the stock reacted
Tata Communications shares closed about 1.6% higher at around ₹1,680 on Monday, according to Mint and CNBC-TV18.
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Sources
- Tata Communications press release: Tata Communications to Build India's AI Super Highway (26 Oct 2026)
- The Economic Times: Tata Communications to plug Rs 4,350 crore in AI super highway (26 Oct 2026)
- Mint: Tata Communications bets $400-450 mn on India's data centre connectivity boom (26 Oct 2026)
- CNBC-TV18: Tata Communications plans $450 million investment for India's 'AI Super Highway' (26 Oct 2026)
