Google to Build USD 6 Billion AI Data Centre in Vizag Next Month, Boosts Andhra Pradesh’s Tech Ambitions

Pranav Hotkar 18 Sep, 2025

Visakhapatnam, Andhra Pradesh, September 18, 2025- Google is set to invest about USD 6 billion in a massive new data centre in Visakhapatnam, with construction expected to begin in October. Andhra Pradesh Chief Minister N. Chandrababu Naidu confirmed the plan, calling it a milestone for the state’s digital future and a project that could place Vizag among the world’s top hubs for artificial intelligence and cloud services.

The centre will have a capacity of 1 gigawatt, making it the largest outside the United States and potentially the biggest in Asia. It will host advanced infrastructure for AI and cloud computing, with global undersea cable connections linking Vizag directly to the rest of the world.

Officials say the project could create thousands of jobs and attract a wave of related investments, with estimates of nearly INR 4 lakh crore (USD 47.9 billion) flowing into the region over the next six months.

Google signed an agreement with the state government in December 2024 to set up the facility. The coastal city was chosen not only for its location and available land but also for its ability to host subsea cable landings, which are vital for handling high volumes of international internet traffic.

To make the deal possible, the Andhra Pradesh government offered land at symbolic rates, while the central government provided assurances on tax stability and favorable power policies.

The Vizag data centre will add to Google’s existing operations in India, which include cloud regions in Mumbai and Delhi. It will also sit alongside major projects in the area, such as TCS’s IT unit and ArcelorMittal’s steel plant, strengthening the city’s growing reputation as a technology and industry hub. With this facility, Andhra Pradesh hopes to move closer to its goal of becoming a leader in the global knowledge economy.

As demand for AI infrastructure accelerates worldwide, Vizag is set to compete with established centres like Northern Virginia in the U.S. and emerging hubs in Asia. If the project rolls out on schedule, Andhra Pradesh could soon be home to one of the world’s most advanced data centres, anchoring India’s ambitions in the cloud and AI era.


About the Author

Pranav Hotkar is a content writer at DCPulse with 2+ years of experience covering the data center industry. His expertise spans topics including data centers, edge computing, cooling systems, power distribution units (PDUs), green data centers, and data center infrastructure management (DCIM). He delivers well-researched, insightful content that highlights key industry trends and innovations. Outside of work, he enjoys exploring cinema, reading, and photography.


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Google AI Data Centre Vizag Visakhapatnam Andhra Pradesh Cloud Computing Technology Investment India Tech Hub Chandrababu Naidu