NEW DELHI: The upcoming 1-gigawatt (GW) hyperscale Google Data Centre in Visakhapatnam is expected to generate approximately ₹10,000 crore in revenue for Andhra Pradesh, said Minister of State for Communications Dr. Pemmasani Chandrasekhar on Tuesday.
The minister, describing the project as a defining milestone in Andhra Pradesh's journey of progress and self-reliance, also mentioned that an investment of approximately $15 billion over five years (2026–2030) will create 5,000–6,000 direct jobs and 20,000–30,000 total jobs in the state. He was speaking to the media after Google announced the establishment of an artificial intelligence (AI) hub in Visakhapatnam.
On Tuesday, Google announced the signing of a Memorandum of Understanding (MoU) with the Andhra Pradesh government to establish a massive AI-powered data centre in Visakhapatnam with an investment of ₹87,520 crore. The MoU was signed in the presence of Andhra Pradesh 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.
Chandrasekhar emphasised that the initiative is a major step in positioning the state as a digital hub and accelerating AI-driven transformation across India. It will support sectors such as healthcare, education, agriculture, and industry, and will connect Visakhapatnam with Singapore, Malaysia, Australia, and 12 other countries through a subsea cable network.
Kurian said this is the company’s largest investment outside the United States and that Visakhapatnam will soon become a global connectivity hub.
Speaking at the MoU signing ceremony, Andhra Pradesh IT and HRD Minister Nara Lokesh described the agreement as a historic milestone for both the state and the nation. “Data is the new oil, and data centers are the new refineries,” he said. “It’s not just about Andhra Pradesh playing a key role in India anymore — it’s about India playing a key role on the global landscape.”
Drawing parallels with India’s earlier technology boom, Lokesh noted, “We saw how the Y2K revolution transformed cities like Hyderabad and Bengaluru. Now, the AI revolution will transform the next generation of cities, starting with Visakhapatnam.”
Highlighting the synergy between education and technology, Lokesh said, “Education and IT go hand in hand — that’s why both portfolios are under one ministry. The idea is to merge them and ensure tangible outcomes on the ground.” He also cited Andhra Pradesh’s Real-Time Governance (RTG) model as an example of technology-driven public welfare, emphasizing that the goal is to enhance quality of life and income levels across all sectors.
Echoing Chief Minister N. Chandrababu Naidu’s vision of “One family, one entrepreneur,” Lokesh added, “This is not just about building a data center — it’s about economic empowerment at the grassroots level. Andhra Pradesh will lead this AI revolution from the front.”
Chief Minister Chandrababu Naidu, addressing the gathering, hailed the project as a landmark moment for Andhra Pradesh. “It is a very auspicious and happy day,” he said, extending gratitude to Prime Minister Narendra Modi, Finance Minister Nirmala Sitharaman, and Union IT Minister Ashwini Vaishnaw for their support. He also lauded Lokesh’s dedication, noting, “He worked closely with Google, visited their office, spent a lot of time, and updated me regularly. We aimed to complete this in 12 months; though it took 13, we made it happen.”
Recalling his own legacy in India’s IT evolution, Naidu reflected, “I brought Microsoft to Hyderabad in the late 1990s. Today, I am proud that Google is coming to Visakhapatnam. From Hitech City to data centers and AI in 2025, we are witnessing an inspiring transformation.”
He praised Google’s creativity and speed, describing the development as the beginning of a new era of innovation, connectivity, and opportunity for Andhra Pradesh and India at large.
Prime Minister Narendra Modi, in a social media post, said that the multi-faceted investment, which includes gigawatt-scale data centre infrastructure, aligns with the vision to build a Viksit Bharat.
“Delighted by the launch of the Google AI Hub in the dynamic city of Visakhapatnam, Andhra Pradesh. This multi-faceted investment that includes gigawatt-scale data center infrastructure, aligns with our vision to build a Viksit Bharat. It will be a powerful force in democratizing technology. It will also ensure AI for All, delivering cutting-edge tools to our citizens, boosting our digital economy and securing India’s place as a global technology leader!,” Modi said in a post on X.
Google CEO Sundar Pichai said that this initiative will bring the company’s industry-leading technology to enterprises and users in India, accelerating AI innovation and driving growth across the country.
“This hub combines gigawatt-scale compute capacity, a new international subsea gateway, and large-scale energy infrastructure. Through it we will bring our industry-leading technology to enterprises and users in India, accelerating AI innovation and driving growth across the country," Pichai said in a post on X.
