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Google to invest $10 billion in building Asia's largest 1 GW data centre cluster at Visakhapatnam

Google to invest $10 billion to establish a 1-GW data centre cluster in Visakhapatnam, a first for the technology giant’s investment in India.

By Ishita Ganguly
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Sundar Pichai

Google's Sundar Pichai

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Google is about to invest $10 billion to establish a 1-gigawatt (GW) data centre cluster in Visakhapatnam, a first for the technology giant’s investment in India.

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As reported by The Economic Times, the facility will comprise three data centre campuses at Adavivaram and Tarluvada villages in Visakhapatnam district and Rambilli village in Anakapalli district.

These facilities are slated to become operational by July 2028.

All about the Visakhapatnam data centre cluster

The details of the agreement are expected to be finalised between Google’s top executives and Andhra Pradesh IT and Electronics Minister Nara Lokesh in New Delhi on October 14.

According to an official press release by the Andhra Pradesh Government, the State Investment Promotion Board (SIPB), chaired by the Chief Minister Chandrababu Naidu, today approved Google's landmark hyperscale data centre in Visakhapatnam.

This represents a near $10 billion investment ranking among the largest digital infrastructure FDI commitments in the country.

The release said that according to an independent assessments by Access Partnership (2025) and Google's economic modeling, the project would contribute an average of Rs 10,518 crore to GSDP annually during the initial five years of operations (2028-2032), while supporting approximately 1,88,220 direct and indirect jobs per year across construction, data center operations, engineering, information technology, and supply chain functions.

Beyond direct operations, Google Cloud's productivity-led impact is expected to add Rs 9,553 crore annually (amounting to Rs 47,720 crore over five years) through digital enablement across the economy.

At the national level, comparable digital infrastructure hubs are modelled to unlock up to $2.1 trillion in value addition and support 10 million jobs by 2047.

The release stated that SIPB recognised the project as a game-changer for Andhra Pradesh's IT ecosystem and approved positioning Visakhapatnam as "AI City Vizag."

"This strategic branding mirrors the catalytic effect of early anchor investments that transformed regional technology landscapes, and is designed to anchor a global hub for AI, Cloud, and Data Analytics aligned with Digital India, IndiaAI Mission, and Make in India. This investment underscores global investor confidence in Andhra Pradesh's governance, policy stability, and execution capability," the release said.

Also read: ‘1 GB wireless data in India costs less than a cup of tea': PM Modi (startuppedia.in)