CHENNAI: The Andhra Pradesh government has cleared a major step toward creating one of India’s largest AI infrastructure hubs by allotting 480 acres of land in Visakhapatnam and Anakapalli districts for the proposed Adani–Google data centre project. The land has been assigned to Adani Infra (India) Pvt Ltd for the development of a 1-gigawatt AI data centre campus planned by Raiden Infotech India Pvt Ltd, a company linked to Google. The project is part of a broader partnership between Google and AdaniConneX.
With an estimated investment of about Rs 87,500 crore, the development is among the biggest technology infrastructure proposals in the country. The state government has also approved an incentive package that includes subsidies and concessions on land, power and utilities to support the construction and operation of the campus. The official order issued on 2 December completes the administrative approval for the land transfer, pending final surveys and handover formalities.
The planned campus will be designed to host high-density AI workloads requiring large-scale power, advanced cooling and reliable connectivity. State officials say the project will help position Visakhapatnam as a major centre for AI, cloud services and digital infrastructure, potentially attracting more global technology investments. The government expects the development to generate significant direct and indirect employment and give a boost to allied sectors in the region.
At the same time, the scale of the project has sparked concerns around environmental impact and resource use. Large data centres typically require substantial electricity and water, raising questions about the strain on local resources in a coastal city already vulnerable to water stress and climate variability. Civil society groups have also sought clarity on land acquisition, possible displacement in nearby villages and the long-term impact on local livelihoods.
While the allotment marks a key milestone for the Adani–Google project, its rollout will be closely watched in the coming months. Much will depend on how the developers address environmental safeguards, manage energy and water consumption, and ensure that the economic benefits reach surrounding communities. The decision highlights Visakhapatnam’s growing ambitions in the digital economy, but the real test will lie in turning this mega investment into a sustainable and inclusive technology hub.