Reliance Industries Ltd (RIL) is set to make one of India’s biggest digital infrastructure investments, with plans to deploy ₹1.6 lakh crore (over $17 billion) to establish a massive 1.5-gigawatt AI-driven data centre cluster in Visakhapatnam, Andhra Pradesh.

The project, which also includes a large-scale captive solar and battery storage system, is expected to become India’s largest data centre hub, surpassing Google’s ongoing 1 GW project in the same region.
According to sources familiar with the development, Andhra Pradesh’s State Investment Promotion Committee has approved the proposal, positioning Visakhapatnam as a major national and global destination for hyperscale data infrastructure.
Phased Development Strategy
Reliance plans to execute the project in three phases:
- Phase 1: 500 MW facility at Polipalli village, targeted for commercial operations by October 2028
- Phase 2: Additional 1 GW expansion at Bhogapuram East and West by 2030
- Land Requirement: 935 acres for the data centre cluster, plus dedicated land for a cable landing station and desalination plant
The cluster will be strategically located near Bhogapuram’s upcoming international airport, enhancing global connectivity and infrastructure readiness.
Renewable Energy Backbone
A significant portion of the investment, approximately ₹51,300 crore, will be directed toward renewable power generation to support the energy-intensive facility.
The approved solar infrastructure includes:
- 9,000 MWp direct current solar capacity
- Up to 6,600 MW alternating current generation potential
- Battery storage systems for stable, uninterrupted operations
This integrated approach aligns with rising demand for sustainable AI and cloud infrastructure.
Andhra Pradesh’s Data Centre Boom
Visakhapatnam is rapidly emerging as India’s next major data centre corridor, with major commitments from:
- Google (1 GW)
- Sify (500 MW)
- Digital Connexion (1 GW)
- RMZ (1 GW)
- Tillman Global Holdings (300 MW)
- Anant Raj Cloud (300 MW)
With Reliance’s proposed project, Andhra Pradesh moves closer to its ambitious 6 GW hosting capacity target.
Strategic Significance
This investment underscores several major trends:
- India’s accelerating push toward AI and cloud infrastructure leadership
- Rising enterprise demand for large-scale, energy-secure data centres
- The growing role of renewable energy in powering hyperscale digital ecosystems
- Andhra Pradesh’s emergence as a strategic technology and infrastructure powerhouse
Reliance’s Visakhapatnam project represents more than just a data centre. It marks a foundational shift in India’s digital economy, combining AI, renewable energy, and large-scale infrastructure into one of the country’s most transformative industrial bets.
