In a landmark move that blends big tech with sustainable infrastructure, Google (Alphabet Inc.) is set to invest $6 billion in India’s southern state of Andhra Pradesh to build its first data centre in the country, according to government sources. The project, located in the coastal city of Visakhapatnam, will be Google’s largest data centre in Asia, both in terms of capacity (1 GW) and investment. The plan also includes a $2 billion investment in renewable energy, intended to power the facility and align with Google’s global sustainability goals.
Big Tech Meets Green Power
With a capacity of 1 gigawatt, the proposed data centre is a critical pillar in Google’s Asia-Pacific expansion strategy, which already includes major projects in Singapore, Malaysia, and Thailand. The renewable energy component—likely to include solar and wind—aims to offset the energy-intensive nature of data infrastructure. However, state officials noted that some coal-based power will also be used to ensure round-the-clock reliability.
Boost to Andhra’s Investment Vision
This development marks a major win for Andhra Pradesh’s investment drive post its 2014 bifurcation, when the state lost Hyderabad to Telangana. Now under the leadership of Chief Minister N. Chandrababu Naidu, the state is aggressively courting high-tech and sustainable industries.
IT Minister Nara Lokesh, currently on an investment outreach visit to Singapore, said that Andhra Pradesh has already secured 1.6 GW in data centre deals, with a target of reaching 6 GW over the next five years—more than India’s current total capacity of 1.4 GW, according to consultancy firm Anarock.
Why Visakhapatnam?
Visakhapatnam (Vizag) was strategically chosen due to its port access, existing infrastructure, and connectivity potential.The state’s IT Minister Nara Lokesh confirmed that the state is developing three undersea cable landing stations, which are vital for high-speed global internet access.“We want to create cable networks that are twice as strong as Mumbai’s today,” Lokesh stated.
Solving the Power Puzzle
Reliable power supply is critical for data centre operations. Lokesh estimates that 10 GW of electricity will be needed over the next five years to support the state’s growing digital infrastructure. While green energy will form the backbone, some coal-fired capacity will remain in place to ensure uninterrupted 24/7 operations.“The majority will be green energy, and that’s the unique value proposition we bring to the table,” Lokesh emphasized.
What’s Next?
Although Google has not yet officially confirmed the investment, state officials indicate a formal announcement may come as early as October 2025. The project follows in the footsteps of Sify Technologies, which is already building a 550 MW data centre in Andhra Pradesh.
With this bold move, Andhra Pradesh is positioning itself as a rising data and cloud hub in Asia, and Visakhapatnam is emerging as a credible rival to traditional Indian data centre destinations like Mumbai, Chennai, and Hyderabad.