Google to invest $15 billion in AI data centre hub in Andhra Pradesh

In a major boost to India’s artificial intelligence and digital infrastructure ambitions, Google is investing $15 billion to set up a 1-gigawatt AI-focused data centre hub in Visakhapatnam, Andhra Pradesh, Reuters reported.

Google Cloud CEO Thomas Kurian said the investment will be spread over the next five years and marks the company’s largest-ever investment outside the United States.

According to Moneycontrol, Google’s subsidiary Raiden Info Tech will execute the project, which is expected to create around 1.88 lakh jobs. The Andhra Pradesh government and the Centre have worked together to clear taxation hurdles, with the project projected to add Rs 10,518 crore annually to the state’s gross state domestic product (GSDP) during 2028–2032.

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The announcement comes as tech giants ramp up spending on AI infrastructure and data centre capacity to support the growing demand for generative AI services. Google alone plans to spend $85 billion globally this year on building data centre capabilities.

AI data centres are critical to powering new-age technologies, enabling companies to link thousands of chips together for massive computing needs.

Earlier this year, Microsoft announced a $3 billion investment in India to expand its Azure Cloud and AI capacity, while Amazon Web Services (AWS) pledged $12.7 billion for cloud infrastructure by 2030. Meanwhile, Nvidia has partnered with Reliance Industries to develop AI infrastructure and an innovation hub in the country.

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