Andhra Pradesh Chief Minister N. Chandrababu Naidu recently announced that Google will invest ₹88,000 crore (US$ 10 billion) over three years in data centre and AI projects in Visakhapatnam through its subsidiary Raiden Infotech. The initiative will create around 1,88,000 jobs and add ₹10,518 crore annually to the state’s GSDP between 2028–2032.
The facility will feature three campuses, submarine cables, metro fiber networks, and support infrastructure. The project aligns with green energy goals, fosters AI and cloud innovation, drives growth in power, real estate, and telecom, and strengthens Andhra Pradesh’s investor-friendly policies and “Digital Andhra” vision.
Andhra Pradesh Chief Minister N. Chandrababu Naidu on Friday (10 October) announced that Google will invest ₹88,000 crore (approximately US$ 10 billion) over the next three years in data centre and Artificial Intelligence (AI) projects in Visakhapatnam (Vizag).
CM Naidu described the investment, made through Google’s subsidiary Raiden Infotech India Ltd, as a “gamechanger” for the state’s economy, noting that it represents the largest single private investment in India since the introduction of financial reforms.
While addressing an event at Nellore where multiple private projects were inaugurated, Mr Naidu stated that the government has finalised plans for Google’s data centres and AI initiatives in Vizag. He noted that this monumental investment will transform Andhra Pradesh into a leading technology and innovation hub in southern India in the coming years.
Transforming Andhra Pradesh into a technology hub
The state officials noted that Google’s investment will fund multiple large-scale data centres, cutting-edge AI research facilities, and critical infrastructure to enhance cloud computing and digital services. The partnership is expected to create thousands of direct and indirect employment opportunities, while the state government and Google will jointly implement skill development programmes to train young professionals in areas such as machine learning, data analytics, and cloud architecture.
According to sources in the Andhra Pradesh Information Technology, Electronics & Communications (ITE&C) Department, Google’s facility will consist of three major data centre campuses in Adavivaram and Tarluvada (Visakhapatnam district) and Rambilli (Anakapalli district), all expected to be operational by July 2028. The development will include three high-capacity submarine cables through dedicated landing stations, extensive metro fiber networks, and associated telecommunications infrastructure.
Independent assessments by Access Partnership and Google’s economic modelling estimate that the project will contribute an average of ₹10,518 crore annually to Andhra Pradesh’s GSDP during its first five years (2028–2032). It is also expected to generate around 1,88,220 direct and indirect jobs each year across construction, data centre operations, engineering, IT, and supply chain roles.
Infrastructure, green initiatives, and policy support
Industry analysts see Google’s investment as a significant affirmation of Andhra Pradesh’s robust infrastructure, progressive policies, and effective governance.
CM Naidu, a consistent advocate of the “Digital Andhra” vision, stated that the collaboration bolsters the state’s goal of emerging as India’s leading centre for AI and data innovation, in line with the broader national vision of Digital India and advancements in artificial intelligence.
He further added that the government expects the data centre to drive growth in ancillary sectors such as power, fibre optics, real estate, and telecommunications, while also supporting upgrades to road and power infrastructure and increasing state revenues through SGST, electricity duty, and property tax once the incentive period ends.
Mr Naidu stated that Google’s investment reflects strong global confidence in Andhra Pradesh’s governance, policy consistency, and implementation efficiency. He highlighted that the state provides single-window clearances, proactive support, dependable power and water supply, integration of renewable energy, and ready-to-use industrial infrastructure.
The project aligns with the state’s vision for green data centres powered by renewable energy. Additionally, a dedicated Emerging Technologies Cluster will be developed around the facility to attract AI and cloud technology firms.
It is to be noted that the Andhra Pradesh State Investment Promotion Board (SIPB), headed by Chief Minister N. Chandrababu Naidu, had recently approved 30 investment proposals totaling ₹1.14 trillion, including a US$10-billion data centre by Google. A state government statement said these projects cover sectors such as information technology, fuel, tourism, aerospace, food processing, and more.
The government stated it will keep promoting ease of doing business by implementing policy reforms and providing fast-track approvals for investors.
Conclusion
Google’s US$ 10-billion investment in Visakhapatnam is a landmark move that not only strengthens Andhra Pradesh’s “Digital Andhra” vision but also enhances its position as a national hub for AI, cloud, and data innovation. Beyond generating nearly 1.88 lakh jobs and boosting GSDP, the project will drive infrastructure upgrades, support ancillary industries, and promote green data centres. Coupled with proactive policies, single-window clearances, and skill development initiatives, it underscores the state’s appeal to global investors.
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FAQ
- What is the total investment Google is making in Andhra Pradesh?
Google, through its subsidiary Raiden Infotech, is investing ₹88,000 crore (approximately $10 billion) over the next three years in data centre and AI projects in Visakhapatnam. - How many jobs will the project create?
The project is expected to generate around 1,88,000 direct and indirect jobs annually across construction, data centre operations, engineering, IT, and supply chain sectors. - What is the expected contribution to Andhra Pradesh’s GSDP?
The investment is projected to add ₹10,518 crore annually to the state’s GSDP between 2028 and 2032. - Where will the data centres be located?
The facility will have three major campuses in Adavivaram and Tarluvada (Visakhapatnam district) and Rambilli (Anakapalli district). - How is the state facilitating the investment?
The government provides single-window clearances, fast-track approvals, reliable power and water, plug-and-play industrial infrastructure, and proactive investor support.
