Union Minister of Information & Broadcasting Ashwini Vaishnaw along with Union Minister of Finance Nirmala Sitharaman, Andhra Pradesh Chief Minister N. Chandrababu Naidu, Andhra Pradesh Minister Nara Lokesh and Google representatives during ‘Bharat AI Shakti’, an event hosted by Google, in New Delhi on October 14, 2025.
| Photo Credit: ANI
In a major boost to Andhra Pradesh’s digital infrastructure ambitions, the State Government has approved a ₹22,002-crore incentive package and the allotment of 480 acres of land to Raiden Infotech India Pvt. Ltd. for establishing AI-enabled data centres worth ₹87,520 crore across Visakhapatnam and Anakapalli districts.
The approval, issued through GO No. 40 of the Information Technology, Electronics and Communication (IT, E&C) Department, follows the recommendations of the State Investment Promotion Board (SIPB) and the Council of Ministers.
Also Read | Google’s subsidiary Raiden Infotech to set up ₹87,520-crore data centre in Vizag
As part of the fiscal incentives, the government approved, 25% discount on land cost; 10% capital subsidy on plant and machinery for 10 years (capped at ₹2,129 crore); 100% exemption on stamp duty and registration charges; SGST reimbursements on construction and leasing for 10 years (₹3,990 crore combined); ₹1/unit power tariff subsidy for 15 years; 100% exemptions on electricity duty, transmission charges, and renewable energy cross-subsidy charges for 15–20 years, and 25% water tariff subsidy for 10 years. In total, the SIPB-approved incentive outlay amounts to ₹22,002 crore.
The project envisages developing over 1,000 MW of advanced data centre capacity, expected to generate substantial direct and indirect employment and propel Andhra Pradesh’s positioning as a leading destination for AI and digital innovation.
Also Read | Google to invest $10 billion in data centre and AI project in India
The Andhra Pradesh Industrial Infrastructure Corporation (APIIC) has earmarked 480 acres across multiple locations, 120 acres in Adavivaram and Mudasarlova, 200 acres in Tarluvada (Visakhapatnam District), and 160 acres in Rambilli (Anakapalli District).
Additional land of up to 15 acres has been reserved for a landing cable station. The data centre investment is expected to spur growth across allied sectors such as construction, IT services, power, and manufacturing, while creating thousands of direct and indirect jobs.
Also Read | Nara Lokesh lays stone for Vizag’s AI-powered Edge Data Center and Open Cable Landing Station
Under the Data Centre Policy (4.0) 2024–29, the state aims to attract major global investments in AI-ready data centres, data embassies, and digital parks. The Raiden Infotech project represents one of the largest private investments in Andhra Pradesh’s technology sector to date.
Published – October 21, 2025 12:31 pm IST
