News Brief

Google To Invest Rs 87,520 Crore In Visakhapatnam Data Centre, Andhra Pradesh Government Approves Mega Project

Swarajya StaffOct 09, 2025, 12:23 PM | Updated 12:23 PM IST
A data centre. (Representative Image, Dean Mouhtaropoulos/Getty Images)

A data centre. (Representative Image, Dean Mouhtaropoulos/Getty Images)


In a major investment push, the Andhra Pradesh government has approved Google’s proposal to set up a Rs 87,520 crore (nearly $10 billion) hyperscale data centre in Visakhapatnam, Indian Express reported.

The State Investment Promotion Board (SIPB), led by Chief Minister N Chandrababu Naidu, cleared the plan — marking one of India’s largest foreign direct investments in digital infrastructure.

“The project cements Andhra Pradesh’s leadership in attracting high-value, technology-led investments and accelerates the state’s transition to an AI-enabled digital economy,” a statement from Naidu’s office said.

The data centre will directly or indirectly create 1.88 lakh jobs, and a Rs 10,518 crore annual GSDP boost is projected.

The facility would be central to developing Vizag as an “AI City” — a future global hub for artificial intelligence, cloud computing, and data analytics.

The state government hopes that that the investment will stimulate growth in allied sectors such as power, fibre optics, real estate, and telecommunications, while improving infrastructure and increasing state revenues via SGST, electricity duty, and property tax after the incentive phase.

Independent studies by Access Partnership and Google’s economic modelling estimate that between 2028 and 2032, the project will add an average of Rs 10,518 crore per year to Andhra Pradesh’s GSDP and support nearly 1.88 lakh jobs annually.


Chief Minister Naidu said Google’s decision reflects global investors' trust in Andhra Pradesh’s governance model, policy stability and execution capability.

He highlighted the state’s streamlined single-window clearance system, reliable infrastructure, renewable energy integration, and plug-and-play industrial infrastructure.

The upcoming facility aligns with Andhra Pradesh’s sustainability agenda, focusing on green data centres powered by renewable energy.

Alongside, the state plans to establish an Emerging Technologies Cluster near the site to attract AI, cloud computing, and data analytics firms, strengthening Vizag’s role in India’s digital transformation.

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