Google to Invest $10 Billion in Visakhapatnam for Data Hub

Google is planning a major $10 billion (around Rs. 88,730 crore) investment to set up a large-scale data centre cluster with 1 GW capacity in Visakhapatnam. This will be the tech giant’s first major data infrastructure project in India, according to details reviewed by the Economic Times.

The project will include three major data centre campuses located in Adavivaram and Tarluvada villages (both in Visakhapatnam district) and Rambilli village (in Anakapalli district). These facilities are expected to start operations by July 2028.

To support this massive infrastructure, Google will also install three high-capacity submarine cables, dedicated landing stations, and a robust network of metro fibre lines and telecom infrastructure.

Sources say the agreement details will be finalised between Google’s senior executives and Andhra Pradesh’s IT and Electronics Minister Nara Lokesh in New Delhi on October 14.

Although Google did not respond to ET’s email query, the Andhra Pradesh State Investment Promotion Board (SIPB), chaired by Chief Minister N. Chandrababu Naidu, is expected to approve the proposal on Wednesday. If approved, this will be Google’s largest direct investment in India’s digital ecosystem to date.

Currently, Google operates data centres in 11 countries including the US, Taiwan, Japan, Singapore, Ireland, the Netherlands, Denmark, Finland, Germany, Belgium, and Chile — across 29 locations worldwide. The upcoming Visakhapatnam cluster is expected to become the largest data centre in Asia once completed.

Naidu had signed a memorandum of understanding (MoU) with Google in December 2024, just months after taking office. Insiders say Google outlined several requirements to boost data infrastructure development in the region.

As previously reported by ET on May 26, Chief Minister Naidu proposed amendments to the IT Act and Copyright Act to foster the growth of “data cities.” In line with this vision, the central government later released a draft policy aimed at providing a comprehensive framework for data centre development.

Earlier this year, Google’s Asia Pacific team visited Visakhapatnam, and Minister Lokesh personally guided them through potential locations for the project.

Once built, the Visakhapatnam data centre cluster will form a key part of India’s first international AI Infrastructure Hub, a specialized digital infrastructure zone designed to fuel India’s and Andhra Pradesh’s digital economy, while also supporting cutting-edge research and development.