Visakhapatnam (Andhra Pradesh) [India], October 8 (ANI): Google is set to establish its largest data centre outside the United States in Visakhapatnam, Andhra Pradesh, marking a landmark moment in India’s digital infrastructure development. The technology giant plans to invest USD 10 billion (approximately ₹88,730 crore) to build a one-gigawatt data centre cluster in the city.
According to an official press release from the Andhra Pradesh Government, the State Investment Promotion Board (SIPB), chaired by Chief Minister Chandrababu Naidu, announced approval for Google’s hyperscale data centre project in Visakhapatnam — one of the largest foreign direct investment (FDI) commitments in India’s digital infrastructure sector.
Independent assessments by Access Partnership (2025) and Google’s own economic modelling estimate the project will contribute an average of ₹10,518 crore annually to Andhra Pradesh’s Gross State Domestic Product (GSDP) over the initial five years of operation (2028–2032). It is expected to support about 1,88,220 direct and indirect jobs each year across construction, data centre operations, engineering, IT, and supply chain functions.
Beyond direct operations, Google Cloud’s productivity impact is projected to add ₹9,553 crore annually (₹47,720 crore over five years) through digital enablement across the economy. At a national level, similar digital infrastructure hubs could generate up to USD 2.1 trillion in value addition and create 10 million jobs by 2047.
The SIPB has designated the project a “game-changer” for Andhra Pradesh’s IT ecosystem, approving the branding of Visakhapatnam as “AI City Vizag.” This move aims to anchor a global hub for AI, cloud, and data analytics, aligned with initiatives such as Digital India, the IndiaAI Mission, and Make in India.
The Andhra Pradesh Government highlighted that the state offers single-window clearances, proactive facilitation, reliable power and water, renewable energy integration, and plug-and-play industrial infrastructure through the Economic Development Board (EDB) and the Department of Information Technology, Electronics & Communications (ITE&C), ensuring stable operations for hyperscale projects.
The data centre will serve as a cornerstone for modern economic infrastructure, accelerating developments in AI, cloud computing, IoT, 5G, and e-governance. The project is expected to catalyse ancillary sectors such as power, fibre optics, real estate, and telecommunications, while enhancing state revenues via SGST, electricity duty, and property tax post-incentive phase. The facility will also be integrated with renewable energy sources.
To maximise ecosystem benefits, the state will develop a dedicated Emerging Technologies Cluster around the data centre to attract AI and cloud players, further advancing Vizag’s rise as India’s AI capital and a global hub for digital transformation. The government will coordinate closely with Google and partners to ensure timely execution, sustainable operations, and inclusive community development.
Speaking on the announcement, Chief Minister Chandrababu Naidu said, “This is not just an investment; it’s a vision being realised. Andhra Pradesh is proud to host one of the world’s largest technology investments, a testament to our policy strength, governance, and our people’s capability. The Google Data Centre in Vizag will anchor our journey towards becoming the AI capital of India and a global hub for digital innovation.” (ANI)
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