The Government of Andhra Pradesh signed a Memorandum of Understanding (MoU) with Google in New Delhi on Tuesday (October 14) to establish a world-class AI-powered data center in Visakhapatnam with an investment of ₹87,520 crore (USD 15 billion).
The MoU was signed in the presence of Chief Minister N. Chandrababu Naidu, Union Finance Minister Nirmala Sitharaman, Union IT and Railways Minister Ashwini Vaishnaw, Andhra Pradesh IT Minister Nara Lokesh, and Google Cloud CEO Thomas Kurian, along with senior officials from Google and the Government of India.
The data center will have a capacity of one gigawatt and will be connected via subsea cable links to Singapore, Malaysia, Australia, and 12 other countries, positioning Visakhapatnam as a global connectivity hub. The AI Data Center will support sectors such as healthcare, education, agriculture, and industry, bringing advanced digital infrastructure to the region.
Mr. Thomas Kurian said this marks Google’s largest-ever investment outside the United States. “Visakhapatnam will emerge as a major global connectivity hub, linking India to 12 countries through the subsea cable network. Along with Gemini AI, several advanced Google Cloud services will be hosted from this facility. This project will also nurture world-class AI professionals,” he said. Mr. Kurian added that the company plans to invest USD 15 billion over the next five years, strengthening India’s digital ecosystem and extending connectivity from Visakhapatnam to multiple nations.
Ms. Minister Nirmala Sitharaman lauded the initiative as a significant milestone for India’s digital growth. “Along with the AI Data Center, setting up a subsea cable landing station in Visakhapatnam is a welcome development. This project will be crucial for national progress. Visionary leaders like Prime Minister Modi and Chief Minister Chandrababu Naidu have made this possible through progressive policies and dynamic governance,” she said. Andhra Pradesh’s efficient digital governance made it the right choice for hosting the project. “Such competitive technological progress is essential to achieve the ‘Viksit Bharat 2047’ goal,” she noted.
Mr. Ashwini Vaishnaw thanked Google for its $15 billion investment decision. “This initiative will transform lives across the country. States like Andhra Pradesh, which prioritize technology, are playing a key role in India’s progress. Through our Data Center Policy, such projects are expanding rapidly,” he said. The new subsea cable system will connect South Asia and Australia, while efforts are underway to extend connectivity from Myanmar to India’s northeastern states. “We are also using railway corridors to expand optical fiber networks across the Northeast,” Mr. Vaishnaw noted.
Expressing happiness over Google’s commitment, Mr. Naidu said: “It is heartening that Google has decided to invest $15 billion over the next five years. I thank Prime Minister Narendra Modi and Union Ministers Ashwini Vaishnaw and Nirmala Sitharaman for their crucial support. I also congratulate IT Minister Nara Lokesh for his key role in bringing this project to Visakhapatnam.” He recalled his long association with the IT revolution since the creation of Hyderabad’s Hitec City and emphasized the importance of data-driven governance.
“With real-time and historical data, faster and smarter decisions are possible. Prime Minister Modi is a leader who swiftly adopts technology. Upon hearing about the project, he suggested organizing a Global AI Conference in Visakhapatnam next February,”Mr. Naidu said. India stands apart globally for its ability to absorb and innovate with technology. “Through our ‘One Family, One Entrepreneur’ initiative, we aim to promote entrepreneurship in every household and bring AI closer to every family,” the Chief Minister said.
Published – October 14, 2025 03:00 pm IST
