Google and Andhra Pradesh forge historic partnership for 'AI City Vizag'

The State government of Andhra Pradesh will sign a landmark agreement with Google in Delhi to establish a 1-gigawatt hyperscale data centre campus in Visakhapatnam. This initiative is a cornerstone of a nearly USD 10 billion investment to develop ‘AI City Vizag,’ positioning the city as a pivotal hub for India’s digital transformation.

The agreement outlines the roadmap for India’s first AI hub, featuring a 1 GW data centre connected to Google’s global network through resilient subsea and terrestrial systems, with a focus on clean-energy integration, reported The New Indian Express.

Google’s AI commitment in Asia

This project marks one of Google’s largest initiatives in Asia, with the company deploying its full AI stack to accelerate AI-driven transformation across India.

The AI hub in Visakhapatnam will integrate powerful AI infrastructure, data centre capacity, large-scale renewable energy sources, and an expanded fibre-optic network. This holistic approach positions Visakhapatnam and Andhra Pradesh as key drivers of India’s AI ecosystem.

“Andhra Pradesh signs tomorrow (Tuesday) what the future will remember — our 1 GW Google data centre in Visakhapatnam, the first step in making AI City Vizag India’s digital powerhouse. It is a transformative project for the future of Andhra Pradesh,” said Minister for IT Nara Lokesh.

Economic and employment impact

State assessments project significant economic benefits from the project, with an estimated average annual GSDP contribution of Rs 10,518 crore between 2028 and 2032.

Additionally, the initiative is expected to create approximately 1,88,220 jobs per year. Google Cloud-enabled productivity spillovers are forecasted to contribute Rs 9,553 crore annually, totalling Rs 47,720 crore over five years.

Streamlined project execution

The State Investment Promotion Board, chaired by Chief Minister N Chandrababu Naidu, approved the project with efficient facilitation through single-window clearances, reliable utilities, and renewable energy integration.

The Economic Development Board and the Department of IT, Electronics, and Communications are leading the development of plug-and-play infrastructure to ensure seamless execution.

Event Details

Date and Time: Tuesday, October 14, 2025, 10:00 AM - 12:00 PM

Venue: Hotel Taj Mansingh, New Delhi

Participants:

Chief Minister N Chandrababu Naidu

Minister for IT Nara Lokesh

Senior Google leadership: Thomas Kurian (CEO, Google Cloud), Bikash Koley (Vice President, Global Infrastructure), Karan Bajwa (President, Asia Pacific Google Cloud)

Senior Union Cabinet Ministers: Nirmala Sitharaman (Union Finance Minister), Ashwini Vaishnaw (Union IT Minister)