Google to Build Asia’s Largest Data Centre in Andhra Pradhesh

July 31, 2025

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Google’s Big Bet on India: $6 Billion Data Centre Coming to Visakhapatnam

In a huge win for India’s digital infrastructure ambitions, Google is all set to invest a whopping $6 billion (₹52,000+ crore) in a massive data centre in Visakhapatnam, Andhra Pradesh. Reported first by Reuters, this marks Google’s first hyperscale data centre in India and one of the largest in Asia by both capacity and capital spend.

Under the leadership of Sundar Pichai, Google is expanding its cloud and AI infrastructure, and India is becoming a key component of that global strategy.

Why This Matters

The Visakhapatnam facility is part of Google’s broader *multi-billion-dollar data centre expansion* strategy across Asia, with ongoing or planned projects in Singapore, Malaysia, and Thailand. With the Indian government pushing forward with its “Digital India” mission, the investment is seen as a strategic alignment between the public and private sectors in developing next-generation infrastructure.

“This is a transformative step for India’s data economy. The Visakhapatnam facility will not only enhance our capacity for cloud and AI infrastructure but will also generate thousands of skilled and semi-skilled jobs,” a senior Indian official told Reuters.

What sets this project apart is its focus on sustainability. Nearly $2 billion (approximately ₹17,000 crore) of the total investment is earmarked for renewable energy generation. Google plans to build dedicated solar and wind farms to power the high-performance servers, making it one of the greenest data centres in the region.

The tech giant has committed to operating on 24/7 carbon-free energy across all its campuses and data centres by 2030, and this facility will be a key part of that roadmap.

This particular project is expected to catalyse regional development, attract ancillary industries, and improve connectivity infrastructure in Andhra Pradesh. Industry experts believe it could trigger a wave of investment into Eastern India’s tech ecosystem, traditionally overshadowed by metros like Bengaluru, Hyderabad, and Mumbai.

The Andhra Pradesh government has reportedly offered policy incentives, land, and fast-track clearances to facilitate the project. An official announcement is expected in the coming weeks, possibly in the presence of Union Cabinet ministers and Google India leadership.

At Google Cloud Next in April 2025, CEO Sundar Pichai reaffirmed a global capital expenditure commitment of about $75 billion for the year, most of which will go into scaling data centres, servers, and networking to support AI expansion .

In addition, as part of its U.S. infrastructure expansion over the next two years, Google is dedicating $25 billion for AI-focused data centres across the PJM Interconnection grid (serving 13 U.S. states), including clean energy upgrades. 

Andhra Pradesh bets big on IT, data centres with new policy push

Andhra Pradesh is rapidly positioning itself as a major technology and digital infrastructure hub through its newly launched IT and Global Capability Centres Policy 4.0 for the period 2024 to 2029, along with a dedicated Data Centre Policy 4.0. Led by the state’s Minister for IT, Electronics, and Education, Nara Lokesh, these policies are designed to attract large-scale investments in IT campuses, co-working spaces, and hyperscale data centres.

Andhra Pradesh has secured major tech investments including ANSR’s innovation campus and Sattva Group’s ₹1500 crore Vantage Vizag project. Google will build its first hyperscale data centre in Visakhapatnam with a six billion dollar investment. IT Minister Nara Lokesh also announced plans for data embassies, global partnerships, and India’s first 150-qubit quantum computer in Amaravati. With a target of six gigawatts of data centre capacity and 1.6 already committed, the state is fast becoming a leading digital economy.

[Credits for header image: PIB
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