Google is bringing its largest data centre outside the United States to Visakhapatnam, Andhra Pradesh. The project, with an investment of USD 10 billion (around Rs 88,730 crore), is set to transform the city into a major hub for AI, cloud computing, and data analytics.
All You Need To Know
- The hyperscale data centre will have a capacity of one gigawatt, making it one of the largest foreign investments in India’s digital infrastructure. It is expected to act as a cornerstone for modern technology development and economic growth in the state.
- The project is projected to add Rs 10,518 crore annually to Andhra Pradesh’s GSDP during the first five years (2028–2032). It will generate approximately 1.88 lakh direct and indirect jobs per year across construction, IT, engineering, data centre operations, and supply chains.
- Google Cloud’s operations are expected to contribute Rs 9,553 crore per year through digital enablement across the economy. Over five years, this amounts to nearly Rs 47,720 crore. On a national scale, similar data hubs could support 10 million jobs and add USD 2.1 trillion to India’s economy by 2047.
- The Andhra Pradesh government aims to develop “AI City Vizag”, turning Visakhapatnam into a global hub for artificial intelligence, cloud computing, and data analytics. The initiative aligns with Digital India, the IndiaAI Mission, and Make in India programs.
- The state offers single-window clearances, reliable power and water, renewable energy integration, and plug-and-play infrastructure. These facilities, coordinated by the Economic Development Board (EDB) and the Department of IT, Electronics & Communications (ITE&C), ensure long-term stability for the data centre.
- The data centre is expected to boost sectors like power, fibre optics, real estate, and telecommunications. Infrastructure improvements in roads, power supply, and connectivity are planned to support the project, enhancing overall economic development.
- The facility will integrate renewable energy solutions, making it a model for eco-friendly hyperscale data centres in India. Sustainability is a key component of the government’s strategy for AI City Vizag.
- The state plans to develop a dedicated emerging technologies cluster around the data centre to attract AI and cloud companies. This cluster will accelerate innovation, positioning Visakhapatnam as a global digital transformation hub.
Beyond IT, the project is expected to stimulate multiple ancillary sectors. Investments in telecommunications, fibre optics, real estate, and energy infrastructure are anticipated to follow, while the state government projects significant revenue gains from SGST, property taxes, and electricity duties once the data centre becomes fully operational.
Google’s investment signals strong global investor confidence in Andhra Pradesh. It promises to drive job creation, GSDP growth, and modernisation of digital infrastructure while cementing the city’s role in India’s emerging AI and technology landscape.
