Google's parent company Alphabet is set to invest fifteen billion dollars to build an AI data hub in southern India's Andhra Pradesh state.
This center, to be established in the port city of the city of Visakhapatnam, is set to become a component of Google's global network of AI centers located in a dozen nations.
"It stands as the greatest AI hub that we are committing funds to worldwide, apart from the United States," Thomas Kurien said at an gathering in capital Delhi this Tuesday, noting that the investment is to be distributed over the next five years.
The revelation occurs when American President Donald Trump has been asking US firms to focus on local funding.
The country has emerged as a key destination for AI data centres. The nation's inexpensive data services and swiftly increasing online population have established it as a focal point for cloud and AI expansion for tech giants.
"The facility will deliver our industry-leading technology to companies and individuals in India, accelerating AI development and promoting progress across the country," said Alphabet's chief executive Sundar Pichai.
A definitive arrangement to conclude the venture is set to be signed this Tuesday, local government officials said.
"It constitutes a significant advancement for our state's digital future, technological innovation, and worldwide position," remarked the technology official Nara Lokesh.
This initiative will combine AI and cloud systems with renewable energy systems and an enhanced optical fiber network.
The venture is part of the state government's plan to create six gigawatts of data center capability by 2029.
Data centres are actual buildings that house the computing and networking equipment that organizations use to gather, analyze, save, and share information.
They feature computer servers, storage systems and networking hardware like routers and firewalls, combined with the essential electricity and temperature control systems to run them.
In Andhra Pradesh, the local administration has been granting discounted land and power to entice international investors.
India's data centre industry has grown rapidly over the past five years, surpassing the 1GW capability milestone in the year 2024 and nearly tripling its 2019 level.
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