Google Invests $15 Billion to Build Asia’s Largest AI Hub in Visakhapatnam. Google’s $15 Billion AI Hub in Visakhapatnam – India’s Largest AI Infrastructure Project.
Google announces a $15 billion investment to build Asia’s largest AI hub in Visakhapatnam, Andhra Pradesh. Learn about the project’s scale, economic impact, and strategic importance.
Focus On this Article: Google AI hub Visakhapatnam, $15 billion investment India, AI City Vizag, Google data center Andhra Pradesh, Asia’s largest AI hub, Google Cloud India
Google Announces $15 Billion Investment for AI Hub in Visakhapatnam
In a landmark move that underscores India’s growing importance in the global tech landscape, Google has announced a $15 billion investment to establish Asia’s largest artificial intelligence hub in Visakhapatnam, Andhra Pradesh. This initiative marks Google’s biggest AI infrastructure project outside the United States and its most significant bet on India’s digital future.
The formal agreement was signed on October 14, 2025, at Hotel Taj Mansingh in New Delhi, in the presence of senior Google executives, Union ministers, and state officials. The announcement was made during the Bharat AI Shakti event, highlighting India’s ambition to become a global leader in artificial intelligence.
Project Overview: AI City Vizag
The centerpiece of the project is a 1-gigawatt data center campus in the port city of Visakhapatnam. This facility will integrate:
- Advanced AI infrastructure
- Large-scale clean energy sources
- An expanded fiber-optic network
- Resilient subsea and terrestrial connectivity systems
According to Thomas Kurian, CEO of Google Cloud, “It’s the largest AI hub we are going to be investing in anywhere in the world outside of the U.S.” The hub will deploy Google’s full AI stack, serving businesses, research institutions, and government agencies across India and beyond.
Economic Impact for Andhra Pradesh
The AI City Vizag project is expected to be a game-changer for Andhra Pradesh’s economy. Key projections include:
- 188,000 jobs created annually
- Rs 10,518 crore added to the state’s gross domestic product (GSDP) each year between 2028 and 2032
- Rs 9,553 crore in annual productivity spillovers from Google Cloud services
- A total economic contribution of Rs 47,720 crore over five years
Nara Lokesh, Andhra Pradesh’s IT Minister, who personally escorted Google executives to the Visakhapatnam site in September 2024, called it “India’s largest FDI investment ever.” The state government has worked closely with the Centre to ensure tax certainty, including:
- Clarification on data processing taxation
- Guarantees against retrospective taxation
Infrastructure and Execution
The project will be executed through Google’s Indian subsidiary, Raiden Info Tech, and will span three planned campuses in Visakhapatnam. Andhra Pradesh aims to scale its data center capacity to 6 gigawatts over the next three years, positioning itself as India’s digital powerhouse.
The hub will be supported by a new Cable Landing Station (CLS) to accommodate Google’s upcoming international subsea cables, connecting India to Google’s global network. The infrastructure will be built in collaboration with ecosystem partners, including Airtel and AdaniConneX.
Strategic Importance in the Global AI Race
Google’s investment comes amid intensifying global competition in AI infrastructure. Tech giants are racing to meet the booming demand for AI services, and India is emerging as a key player due to its:
- Large talent pool
- Expanding digital economy
- Supportive policy environment
This initiative aligns with Google’s broader $85 billion capital expenditure plan for 2025, revised upward from $75 billion due to strong demand for cloud and AI offerings.
The Visakhapatnam hub will help India:
- Accelerate its AI transformation
- Localize data storage and processing
- Power AI-driven solutions across sectors like healthcare, agriculture, education, and governance
Frequently Asked Questions (FAQs)
1. What is the scale of Google’s investment in India?
Google is investing $15 billion to build Asia’s largest AI hub in Visakhapatnam, Andhra Pradesh.
2. What will the AI hub include?
The hub will feature a 1-gigawatt data center, clean energy integration, fiber-optic networks, and subsea cable connectivity.
3. How many jobs will the project create?
The project is expected to generate 188,000 jobs annually, contributing significantly to local employment.
4. Who is executing the project?
The project will be executed by Raiden Info Tech, Google’s Indian subsidiary, in collaboration with Airtel and AdaniConneX.
5. What is the economic impact on Andhra Pradesh?
The hub will contribute Rs 10,518 crore annually to the state’s GSDP and generate Rs 47,720 crore over five years.
6. How does this fit into Google’s global strategy?
It’s part of Google’s $85 billion global capex plan, making India a central player in its AI infrastructure expansion.
Conclusion: India’s Leap into AI Leadership
Google’s $15 billion investment in Visakhapatnam is more than just a business move—it’s a strategic leap for India’s digital future. By building Asia’s largest AI hub, Google is helping India become a global AI leader, driving innovation, job creation, and economic growth.
As the project unfolds, Visakhapatnam is set to transform into AI City Vizag, a symbol of India’s ambition and capability in the age of artificial intelligence.
Tags: #GoogleAI #Visakhapatnam #AIHubIndia #DigitalIndia #GoogleCloud #FDIIndia #AIInfrastructure #AndhraPradesh #ThomasKurian #NaraLokesh
