Google has announced a $15 billion investment to establish its largest artificial intelligence data hub outside the United States in Visakhapatnam, India, marking a significant expansion of its global AI infrastructure. This five-year project, unveiled on October 14, 2025, aims to accelerate AI innovation and support India’s digital economy growth while enhancing the country’s position in the tech landscape.
The announcement was made by Google Cloud CEO Thomas Kurian during an event in New Delhi, where he described the facility as part of Google’s global network of AI centers spanning 12 countries. The investment will be spread over the next five years, with the hub located in the port city of Visakhapatnam in Andhra Pradesh state. This initiative represents Google’s largest commitment in India to date, building on a previous $10 billion pledge made in 2020, and underscores the company’s long-term strategy to deepen its roots in one of the world’s fastest-growing digital markets.
Scale and technological ambition are central to this project, with the hub featuring a 1-gigawatt data center designed to scale to multiple gigawatts over time. It will integrate cloud computing, AI infrastructure, renewable energy systems, and an expanded fibre-optic network, creating a comprehensive digital ecosystem. Google plans to deploy its custom Tensor Processing Units (TPUs) for local AI processing and provide access to AI models like Gemini, along with platforms for building agents and applications, ensuring robust support for both enterprise and consumer needs.
Partnerships with Indian companies are key to the hub’s development, including collaborations with telecom provider Bharti Airtel for constructing the data center and cable landing station, and with Adani Group-backed AdaniConneX for infrastructure support. Additionally, Google will bring its subsea cable infrastructure to Visakhapatnam, transforming the city into a global connectivity hub that improves digital links within India and to international markets. This infrastructure boost is expected to enhance internet reliability and speed, particularly in northeastern states, and potentially connect to regions like Sittwe in Myanmar.
The investment arrives amid the Indian government’s push for reduced reliance on U.S. tech giants and promotion of local alternatives, such as Zoho Corporation’s cloud services and MapMyIndia. However, Google’s move signals continued confidence in India’s market potential, where it employs 14,000 people and has operated for over two decades. This project aligns with national goals under Prime Minister Narendra Modi’s administration, which has emphasized digital self-reliance while welcoming foreign investment that supports local innovation and job creation.
Andhra Pradesh’s government, led by Chief Minister N. Chandrababu Naidu, has been instrumental in attracting global tech firms through incentives like subsidized land and electricity. The AI hub supports the state’s plan to develop 6GW of data center capacity by 2029 and contributes to India’s broader AI mission, as highlighted by IT minister Ashwini Vaishnaw. He praised the project for its potential to advance India’s AI capabilities and suggested future expansions, such as leveraging the Andaman Islands for data transfer to alleviate congestion in hubs like Singapore.
Broader implications include fostering economic growth, driving AI adoption across sectors like healthcare and education, and positioning India as a key node in global AI supply chains. The hub will serve not only India but also Asia and other parts of the world, offering consumer services like Google Search, YouTube, Gmail, and Google Ads. This could spur local startups and enterprises to leverage advanced AI tools, potentially boosting productivity and innovation in the region.
Looking ahead, the project is set to begin construction soon, with formal agreements to be finalized in the coming weeks. It reflects a strategic balance between global tech expansion and local economic development, promising long-term benefits such as job creation, skill development, and enhanced digital infrastructure. As AI continues to reshape industries, this investment highlights the growing importance of India in the global tech arena and sets a precedent for future collaborations between multinational corporations and emerging markets.
