Google Launches India’s First Gigawatt-Scale AI Hub

Google has announced a $15 billion investment to build a massive data center campus in Visakhapatnam, Andhra Pradesh. It’s the largest tech infrastructure project ever in India. The center will help make India a key part of the global AI computing network.

The five-year project will deliver 1,000 megawatts of processing power. It combines

Data center operations
Undersea cable connections
Renewable energy systems all in one place.

When finished, Visakhapatnam will join 12 other countries in Google’s global AI network. It will also be Google’s biggest data center outside the U.S.

Inside the Data Center

The facility has three main layers: computing, connectivity, and energy.

1. Computing Power

The center will use tensor processing units (TPUs) and graphics processing units (GPUs). These chips help run AI tasks, such as Google Search, Workspace apps, and video services.

2. Connectivity

Visakhapatnam will become an international subsea cable landing point, linking India with Southeast Asia. This reduces delays in data transfer and improves reliability.

Bharti Airtel will build the cable station and fiber networks to connect cities across India.

3. Energy

The project includes new power lines, solar and wind energy, and battery storage. It will use renewable energy to stay green while keeping a stable power supply.

Google says the system will balance energy use through “responsive load management,” which helps prevent stress on the power grid.

Public-Private Partnership

Google’s Indian arm, Raiden Infotech, will lead the project with help from AdaniConneX and Airtel.

AdaniConneX will help build and manage the data center.
Airtel will handle the subsea cable and fiber networks.

The Andhra Pradesh government is supporting the project with ₹22,000 crore in incentives through 2030. These benefits include:

495 acres of land with 25% cost cuts.
No stamp duty fees.
10% capital subsidy for machinery for 10 years.
Discounted power at ₹1 per unit for 15 years (up to ₹4,800 crore).
GST reimbursements during construction (up to ₹2,245 crore).

Other Indian states—like Karnataka, Tamil Nadu, and Maharashtra—have offered similar packages to attract tech investment.

Why It Matters

Talks for the project began in September 2024 between Andhra Pradesh IT Minister Nara Lokesh and Google leaders. They worked with India’s central government to fix tax issues that had delayed earlier projects.

The central government says the project will support the India AI Mission, which gives startups and researchers access to affordable computing power. Union IT Minister Ashwini Vaishnaw said it will also create high-value tech jobs.

Chief Minister Chandrababu Naidu compared this moment to when he brought Microsoft to Hyderabad in 1998, turning the city into a major tech hub. He hopes Visakhapatnam will now become India’s AI capital.

Despite global trade tensions and new U.S. tariffs on Indian exports, Google CEO Sundar Pichai spoke directly with Prime Minister Narendra Modi, saying this project will help both countries strengthen tech ties.

Challenges Ahead

Building a project this large comes with hurdles.

Power Supply

Data centers need constant electricity. The government must expand the power grid and backup systems to ensure a steady supply.

Renewable Energy

Solar and wind power can be unreliable. The project will use battery storage and smart systems to keep the center running 24/7.

Cooling

AI chips create a lot of heat. The center will use liquid cooling that can handle up to 30 kilowatts per rack, possibly increasing to 120 kilowatts for heavier AI workloads.

Hardware Shortages

There’s a global shortage of AI chips and parts. Google’s phased approach, building in stages, will help reduce these supply problems.

This project could serve as a model for future tech investments that combine AI computing, global connectivity, and clean energy.

FAQs

1. How much is Google investing in the Visakhapatnam data center?

Google is investing $15 billion, its biggest infrastructure project, in India.

2. What will the data center do?

It will power AI computing, manage Google services, and connect India to global internet networks.

3. Who are Google’s partners in this project?

Google is working with AdaniConneX for infrastructure and Bharti Airtel for connectivity.

4. When will the project be completed?

It’s a five-year project, with development happening in several phases.

5. How will it benefit India?

The project will create jobs, boost renewable energy use, and make India a global AI hub.

Google Launches India’s First Gigawatt-Scale AI Infrastructure