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Google to invest $15bn to build AI data hub in India

Google has announced a $15 billion investment to build its largest artificial intelligence data hub outside the United States in Visakhapatnam, India, marking a significant expansion of its global AI infrastructure over the next five years. This move aims to accelerate AI innovation and drive growth across the country while positioning India as a key player in the digital economy.

The announcement was made on Tuesday, October 14, 2025, by Google Cloud CEO Thomas Kurian at an event in New Delhi, where he emphasized that this represents the company’s largest investment in India to date. The AI hub will be established in the southern state of Andhra Pradesh, specifically in the port city of Visakhapatnam, and is part of Google’s global network of AI centers spanning 12 countries. Kurian highlighted that the facility will be scaled to “multiple gigawatts” over time, starting with an initial 1-gigawatt data center capacity.

Google has partnered with Indian telecom provider Bharti Airtel to construct the data center and a cable landing station in Visakhapatnam, enhancing connectivity infrastructure. Additionally, the company is collaborating with Adani Group-backed AdaniConneX for the project’s development. The hub will include subsea cable infrastructure, transforming Visakhapatnam into a global connectivity hub that links different parts of India and serves as a digital backbone for the region.

The investment comes at a time when the Indian government, under Prime Minister Narendra Modi, has been promoting “swadeshi” or locally made products to reduce reliance on foreign tech giants, following recent U.S. tariffs imposed by President Donald Trump. Despite this political context, India’s low data costs and rapidly growing internet user base—which has nearly tripled data center capacity since 2019—make it an attractive destination for AI and cloud expansion. Alphabet CEO Sundar Pichai stated that the hub will bring Google’s industry-leading technology to Indian enterprises and users.

The AI hub will offer a full stack of solutions, including custom Tensor Processing Units (TPUs) for local AI processing, access to AI models like Gemini, and platforms for building agents and applications. It will also support consumer services such as Google Search, YouTube, Gmail, and Google Ads, enabling the facility to serve not only India but also other parts of Asia and the world. This aligns with Google’s strategy to deepen its presence in key growth markets, building on its previous $10 billion commitment to India in 2020.

Indian officials have welcomed the project, with IT Minister Ashwini Vaishnaw describing it as a crucial contribution to India’s AI mission goals. He urged Google to consider the Andaman Islands for future data transfer hubs and proposed linking Visakhapatnam with Sittwe in Myanmar to improve connectivity in northeastern India. The Andhra Pradesh government, which has been offering subsidized land and electricity to attract investors, views this as a leap for the state’s digital future and global standing.

This investment is expected to accelerate AI adoption, foster innovation, and create economic opportunities in India, while reinforcing Google’s long-term commitment to the region. As the project unfolds over the next five years, it will likely influence global AI infrastructure trends and strengthen India’s position as a hub for technology and data-driven growth.

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