Google’s $10 Billion Bet: Building a 1GW Data Centre Cluster in Visakhapatnam
- ByStartupStory | October 13, 2025
Global tech giant Google is betting big on India’s digital and AI-driven economy with a massive $10 billion investment to build a 1-gigawatt (GW) data centre cluster in Visakhapatnam, Andhra Pradesh. The project — one of Google’s largest infrastructure investments in Asia — is expected to be operational by mid-2028 and will significantly strengthen the country’s cloud, AI, and data infrastructure ecosystem.
Expanding India’s Data Infrastructure Horizon
Google’s proposed cluster will comprise three campuses located at Adivivaram, Tarluvada, and Rambilli-Achyutapuram across the Visakhapatnam and Anakapalli districts. Spread over 480 acres, the development will include high-capacity submarine cables, dedicated cable-landing stations, and upgraded metro fibre networks to support the company’s growing cloud and AI services.
The data cluster will require an estimated 2,091 megawatts (MW) of power — reflecting the scale of the operation — and will likely be supported by advanced renewable energy and water-efficient cooling systems. Construction is expected to begin soon after regulatory clearances, with full operations targeted for July 2028.
Strengthening India’s Cloud and AI Ecosystem
The initiative reflects Google’s long-term commitment to India’s digital transformation and its confidence in the country’s ability to support hyperscale infrastructure. With India rapidly becoming a global hub for AI development, cloud adoption, and data-driven enterprises, this investment will provide the backbone for faster, more reliable, and sustainable computing infrastructure.
It also aligns with Andhra Pradesh’s vision of becoming a major data infrastructure hub, backed by supportive policies, power incentives, and IT-focused industrial development.
Economic and Industry Impact
The $10 billion project is expected to deliver wide-ranging economic benefits — from job creation in engineering, construction, and technology services to the growth of ancillary sectors such as real estate, power, fibre optics, and logistics.
By establishing India’s largest-ever data centre investment, Google is set to reinforce the country’s status as a global digital powerhouse. It will also enable the government’s broader ambitions under the Digital India and AI-for-All initiatives, promoting innovation and skill development across sectors.
Sustainability and Smart Infrastructure
Given the massive energy requirements, sustainability will be at the core of Google’s Visakhapatnam cluster. The company is expected to integrate renewable energy sources, efficient cooling and water-management systems, and green building standards to minimise its environmental footprint.
This focus aligns with Google’s global mission to operate carbon-free data centres by 2030, setting new benchmarks for sustainable digital infrastructure in India.
What It Means for Indian Startups
For India’s fast-growing startup ecosystem, especially those working in AI, machine learning, cloud computing, and analytics, this development is a game-changer. The new infrastructure will bring lower latency, improved reliability, and scalable access to advanced cloud and compute capabilities — reducing operational costs and improving performance.
It will also open up new opportunities for startups in renewable energy, data security, cooling technology, and digital infrastructure management, creating an ecosystem that supports both innovation and growth.
The Road Ahead
Google’s Visakhapatnam data centre cluster represents a defining moment in India’s digital infrastructure journey. Beyond being a technological investment, it is a strategic bet on India’s role in the global AI economy.
If executed effectively, the project could become a cornerstone for India’s next wave of digital growth — empowering businesses, accelerating innovation, and positioning the country as a leading destination for global data and cloud infrastructure.
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