TCS deepens Siemens Energy tie-up on AI data centres

TCS has signed two memorandums of understanding with Siemens Energy AG and Siemens Energy India, deepening an existing relationship between the companies.

The agreements cover IT services, digital and industrial artificial intelligence, data centres and related technologies. Siemens Energy India will also support TCS's HyperVault data centre business in India.

The deal with Siemens Energy AG focuses on industrial digital systems and AI applications. TCS will remain a preferred IT partner to the German energy company, continuing work on its core digital systems with an emphasis on operational efficiency and resilience.

The companies also plan to work together on factory modernisation and industrial automation. Areas identified for collaboration include digital twins, predictive analytics, smart manufacturing, closer integration between operational technology and information technology, and industrial vision systems.

With Siemens Energy India, the focus is different. The company will support HyperVault in building infrastructure for AI-ready data centres, covering power generation, electrification systems, grid technologies, digital systems and software platforms.

The move reflects rising demand for electricity and reliability in data centres designed for AI workloads. As computing needs grow and energy use rises, operators are under increasing pressure to secure stable power supplies.

Long relationship

TCS and Siemens Energy AG said the new agreements build on a relationship spanning more than two decades. During that time, TCS has served as a technology partner to Siemens Energy AG. The latest expansion signals a broader role that now includes industrial AI and data centre energy systems.

The wider scope also reflects how traditional IT outsourcing relationships are changing. Technology suppliers are increasingly being asked to work on operational systems, industrial processes and AI-linked infrastructure, rather than only business software and support services.

Christian Bruch, President and Chief Executive Officer of Siemens Energy AG, said: "Partnering with TCS helps Siemens Energy AG turn digital infrastructure innovation into scalable impact. Based on their expertise across AI, cloud, and large-scale engineering supports we will jointly work to create value for our customers, while India remains a vital market for supporting our global growth ambitions."

TCS presented the agreement as part of a broader push by industrial and energy companies to modernise legacy systems while introducing AI into day-to-day operations. The work will span digital foundations and operational systems, from manufacturing environments to connected enterprise functions.

K. Krithivasan, Managing Director and Chief Executive Officer of Tata Consultancy Services, said: "Energy and industrial enterprises are at a pivotal inflection point, where competitiveness will be shaped by how effectively they modernise core technologies and scale AI across operations.

"Our partnership with Siemens Energy AG brings together deep industry knowledge and TCS' strengths in AI, data, and engineering to create resilient digital foundations and intelligent, data driven operations covering everything from smarter factories to connected enterprises and operational systems. With Siemens Energy India Limited supporting HyperVault, we are accelerating the development of AI-ready data centers designed to meet the distinctive power and reliability needs of AI."

Data centre focus

The reference to HyperVault puts a sharper focus on data centre infrastructure in India, where companies are positioning for growth in AI-related computing demand. As more businesses train and run AI models, demand for facilities with higher power density and more reliable energy supply has become a key commercial issue.

Siemens Energy India said its role in the partnership will centre on energy systems and power infrastructure for those facilities. That connects its electrification and grid technology businesses with the expansion of AI computing infrastructure.

Guilherme Mendonca, Managing Director and Chief Executive Officer of Siemens Energy India, said: "This strategic partnership between TCS and Siemens Energy India Limited brings together our expertise in energy systems and digital intelligence to enable reliable, low carbon power infrastructure for the next generation of AI-driven data centres."

The agreements also underline India's role in both companies' plans, not only as a market for digital services but also as a base for industrial and data centre projects tied to AI. As Bruch put it, India remains "a vital market for supporting our global growth ambitions".