Around 350 tech jobs are set to be created in the West Midlands as part of a new investment.
Tata Technologies, which is part of the same group that owns Jaguar Land Rover, is working in partnership with University of Wolverhampton and University of Warwick to establish centres of excellence in cybersecurity, automotive safety and automotive systems architecture.
Tata Technologies already has its continental HQ on Tachbrook Park, in Leamington Spa, where it operates its European Innovation and Development Centre.
This delivers engineering and digital products across the automotive, aerospace and industrial machinery sectors to European, US and Asia-Pacific markets.
This latest step is aimed at tapping into the West Midlands' talent pool in order to engineer competitive products through the Innovation and Development Centre.
Chief executive Warren Harris said: "Tata Technologies' European Innovation and Development Centre is a key delivery centre for us and is the biggest centre outside of India with approximately 650 employees in the UK.
"Teams are part of some of the biggest innovations that we are delivering for our international customers and we want to leverage the talent in the West Midlands to engineer the next generation of electric vehicles and aircrafts.
"Through partnerships with educational institutions, we aim to provide training, resources and job opportunities to individuals looking to enter or advance in these fields while also fostering innovation and growth in the mobility industry."
West Midlands Mayor Andy Street added: "Tata is a globally renowned company and an important employer in our region.
"Back in November, I had the chance to meet with senior Tata leadership in Mumbai so it's great to see Tata Technologies recognising the strength of our local and STEM-literate talent pool with this announcement regarding investment and expansion."
Neil Rami, chief executive of inward investment agency West Midlands Growth Company, said: "Tata Technologies operates at the forefront of the industry, innovative digital solutions that are driving the fourth industrial revolution globally.
"The continued growth of the firm's European headquarters in the West Midlands is a testament to the world-leading, diverse, STEM-proficient talent pool produced by our universities which is only set to strengthen following Tata Technologies' landmark announcement."
