Corporate Affairs; Nara Chandrababu Naidu, chief minister of Andhra Pradesh; Nara Lokesh, minister for Information Technology for Andhra Pradesh; and Thomas Kurian, CEO of Google Cloud. Photo courtesy of Google.
Oct. 14 (UPI) — Google announced it will invest $15 billion to build an AI hub in India, Google Cloud CEO Thomas Kurian announced Tuesday.
The hub will be in Visakhapatnam, Andhra Pradesh, in southeastern India, and will reportedly be a 1-gigawatt facility.
The investment is Google’s largest Indian investment to date and will create Google’s largest AI hub in the world outside of the United States, Kurian said.
On Monday, Lokesh Nara, Andhra Pradesh’s minister of Human Resources, posted on X about the investment.
“After a year of intense discussions and relentless effort, tomorrow we make history. Google will sign an MOU with the Govt. of Andhra Pradesh for a 1GW project with an investment of $10 billion USD. It is a massive leap for our state’s digital future, innovation, and global standing. This is just the beginning,” he wrote.
The Indian Economic Times reported on Saturday that the investment would come from Google’s Indian subsidiary Raiden Infotech, which will also develop three campuses in Visakhapatnam.
According to an analysis commissioned by Google by Access Partnership, the AI hub is expected to generate at least $15 billion over five years in American gross domestic product because of new economic activity from increased cloud and AI adoption, as well as the American talent and resources involved in developing and operating the AI hub, the Google press release said.
“The Google AI hub in Visakhapatnam represents a landmark investment in India’s digital future,” Kurian said in a statement. “By delivering industry-leading AI infrastructure at scale, we are enabling businesses to innovate faster and creating meaningful opportunities for inclusive growth. This partnership reflects our shared commitment to the Indian and U.S. governments to harness AI responsibly and drive transformative impact for society.”
Part of the investment will be the construction of a new international subsea gateway, including multiple international subsea cables to land in Visakhapatnam, which is on the coast of the Bay of Bengal. This will help India meet its increasing digital demands, giving route diversity to complement subsea cable landings in Mumbai and Chennai and securing India’s digital backbone.
“This significant investment in Andhra Pradesh marks a new chapter in India’s digital transformation journey,” said N. Chandrababu Naidu, chief minister of Andhra Pradesh, in a statement. “We are proud to host India’s first truly gigawatt-scale data center and Google’s first AI hub in India, which is a testament to our shared commitment to innovation, AI adoption, and long-term support for businesses and startups in the state.”