Google announced it will invest $15 billion over the next five years to construct a 1-gigawatt AI data center campus in Visakhapatnam, Andhra Pradesh, marking its largest AI hub investment outside the U.S.
At a New Delhi event, Google Cloud CEO Thomas Kurian described the project as Google’s biggest AI infrastructure commitment globally, outside its U.S. campuses. The campus will integrate advanced compute, power systems, fiber-optic connectivity, and supporting energy infrastructure.
India is now central to tech giants’ global AI infrastructure strategies. Google alone is committing to $85 billion in data center capacity expansion this year, and its new Andhra facility will anchor its Asia expansion including sites in Singapore, Malaysia, and Thailand.
Infrastructure, Strategy & Competition
To build such capacity, Google is partnering with local entities. Within India, companies like Microsoft and Amazon have already invested heavily in cloud and data center capacity, making India a battleground for AI infrastructure.
Officials in Andhra Pradesh initially projected a $10 billion investment; the increased figure underscores Google’s elevated ambition for scale and strategic positioning. The company plans to build not just compute capacity, but subsea cable landings, clean energy systems, and enhanced network links—making Visakhapatnam a new connectivity hub.
State IT Minister Nara Lokesh called the project “game-changing,” stressing that in an era when “data is the new oil,” this initiative gives Andhra a strategic advantage in digital economies.
Bloomberg reports that Andhra aims to host 6 GW of data center capacity by 2029, positioning the state as a major node in India’s cloud infrastructure roadmap.
Impacts, Risks & the Road Ahead
The investment has potential to reshape India’s AI landscape, but not without challenges. The project must navigate land acquisition disputes, regulatory approvals, and the integration of reliable clean energy supply to power giga-scale facilities.
Nearby, legal hurdles over 200 acres in Visakhapatnam’s Tarluvada area have already delayed progress, with farmers filing court claims. Despite this, the state government is actively working to resolve issues and accelerate the project.
If successful, Google’s AI hub may attract further investment, catalyze local tech ecosystems, and shift regional power in cloud infrastructure.
Key takeaways:
- Google’s $15B AI hub will be its largest outside the U.S.
- Andhra aims for 6 GW of data center capacity by 2029
- Infrastructure includes compute, energy, subsea cables, networks
- Risks involve land acquisition, regulation, power supply
India’s digital ambition gains momentum with this move. The Visakhapatnam hub isn’t merely a facility—it’s a statement: that India intends to host the next era of AI innovation on its own terms.
