Google is investing $6 billion to build a massive 1-gigawatt (GW) data centre and supporting power infrastructure in Visakhapatnam, Andhra Pradesh.
The project includes $2 billion in renewable energy capacity to power the centre, making it the largest data facility in Asia in terms of investment and capacity.
This marks Alphabet’s first data centre investment in India, a move aligned with its wider regional expansion strategy that spans Singapore, Malaysia, and Thailand.
This investment is part of Google’s broader commitment to spend around $75 billion in 2025 on global data centre infrastructure despite ongoing economic uncertainties and the US government’s tariff policies under President Donald Trump.
Andhra Pradesh is positioning itself at the centre of this transformation by aiming to develop 6 GW of data centres over the next five years from a near-zero base.
Andhra Pradesh targets 6 GW of data centres by 2030
Following the 2014 bifurcation of Andhra Pradesh and the loss of Hyderabad to the newly formed Telangana, the state has accelerated efforts to attract large-scale investments to offset revenue losses and meet its financial obligations.
The government’s push into data infrastructure is part of that strategy.
According to Andhra Pradesh IT minister Nara Lokesh, the state has already finalised deals for 1.6 GW worth of data centre capacity.
These projects are expected to become operational within the next 24 months—exceeding the 1.4 GW currently in operation across all of India, as reported by real estate consultancy Anarock.
Google’s facility will be a central part of this early pipeline, and the state anticipates a major lift in energy demand from these projects—up to 10 GW over the next five years.
$2 billion in green power to meet data centre demand
To power these new facilities, Andhra Pradesh is also rapidly scaling up its energy infrastructure. Of the projected 10 GW needed, a significant portion will come from green energy sources.
The state government says this renewable focus is a key differentiator in its investment appeal.
While sustainability is a priority, not all of the power will be clean.
Given the energy intensity and need for constant uptime in data centre operations, coal-based power will still play a role to guarantee consistent supply.
Google’s plan, which includes a $2 billion renewable component, reinforces this hybrid approach.
Its Visakhapatnam centre will be both a technological and environmental benchmark for India’s data economy.
Visakhapatnam to host cable landing stations for global connectivity
To complement the data centre investments, Andhra Pradesh is developing critical connectivity infrastructure.
Lokesh revealed plans for three new cable landing stations in Visakhapatnam to enable robust undersea cable connectivity—essential for data-heavy operations and international bandwidth.
The aim is to build a cable network twice the scale of what is currently available in Mumbai, India’s primary internet gateway.
These landing stations will facilitate faster, more reliable access to global internet infrastructure, making Visakhapatnam an emerging hub in Asia’s digital landscape.
Sify among other firms eyeing the region
While Google’s $6 billion entry dominates headlines, Andhra Pradesh has also drawn interest from other tech firms. Sify Technologies has already announced plans for a 550-megawatt data centre in the state.
Lokesh hinted at further investments to be made public by October, indicating a growing pipeline of digital infrastructure projects.
Together, these developments suggest Andhra Pradesh is fast becoming a cornerstone of India’s tech economy, backed by international players, state-supported green energy, and strategic connectivity projects.
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