Google To Invest $10 Billion In Vizag Data Centre Cluster: Report

In a first, Google is likely to invest $10 billion in India's Visakhapatnam to establish a data centre cluster of 1 GW capacity, as per an Economic Times report. The data centre facilities are expected to become operational by July 2028.

The facility is expected to have three data centres near Vizag, at Adavivaram village and Tarluvada village, both in Visakhapatnam district, and Rambilli village in Anakapalli district, as per the report.

Moreover, construction of these data centres would require installation and landing of three high-capacity submarine cables, dedicated cable landing stations, and high-capacity metro fiber lines, and telecommunications infrastructure.

Citing sources, the report said, a formal agreement will likely take place in New Delhi on October 14 between Google and Andhra Pradesh IT and electronics minister Nara Lokesh.

The Andhra Pradesh State Investment Promotion Board, chaired by Chief Minister N. Chandrababu Naidu, is expected to clear the proposal from Google on Wednesday. If approved, the project will mark Google and its subsidiaries' largest direct investment in India's digital economy to date, as per the ET report.

Currently, Google operates data centres across 29 sites in 11 countries, including the US, Japan, Singapore, and several European nations. The proposed data centre cluster in Visakhapatnam is poised to become the largest in Asia.

The initiative follows a memorandum of understanding signed between Naidu and Google in December 2024, just six months after Naidu assumed office. Sources as per ET indicate that Google outlined specific infrastructure requirements to support its data operations.

In May, Google's Asia Pacific team visited Visakhapatnam, with Minister Nara Lokesh personally accompanying them to inspect potential sites, as per the report.

Notably, the Visakhapatnam cluster will anchor India's first international AI Infrastructure Hub.