

VISAKHAPATNAM: The State government has cleared the expansion of Sify Infinit Spaces Limited’s proposed Rs 15,266-crore data centre project in Visakhapatnam by approving an additional 25 acres of land for its second phase. Alongside the Sify expansion, the government has also approved three other technology projects - IT campuses by Infinx Technology Solutions and Eclat Health Solutions in Visakhapatnam, and a 100 MW data centre by CtrlS Datacenters in the Anakapalle district.
The largest among the projects is Sify’s proposed 500 MW data centre. The company had earlier been allotted 3.6 acres at Madhurawada and 25 acres at Paradesipalem under a government order issued in August 2025 for establishing data centres with a cumulative investment of Rs 15,266 crore and an estimated employment potential of about 600 jobs.
To facilitate Phase II development and achieve the planned 500 MW capacity, Sify sought an additional 25 acres of contiguous land. The government has approved the request, retaining the earlier allotment price of `50 lakh per acre. However, the land will be handed over in phases. Of the total extent, 12.40 acres will be allotted initially, subject to the outcome of a case pending before the Survey and Settlements Department, while the remaining 12.60 acres will be allotted only after pending court cases relating to the land are resolved.
The government has also stipulated that the company must commence implementation of Phase I before the balance of the land is transferred. The remaining land will be allotted after APIIC secures possession of the site and the company demonstrates satisfactory progress in the first phase.
Another major approval relates to Infinx Technology Solutions Private Limited, which has been allotted 5.08 acres at Kapuluppada IT Park for establishing an IT/ITeS campus with a proposed investment of `170 crore. The project, to be implemented in two phases, is expected to generate around 4,000 jobs. The land has been allotted at Rs 2 crore per acre under the AP IT & GCC Policy (4.0) 2024-29.
It also approved the allotment of two acres at Rushikonda, Madhurawada, to Eclat Health Solutions (India) Private Limited for setting up an IT/ITeS campus with a proposed investment of `50 crore and an employment commitment of 1,000 jobs.
The land had earlier been allotted to iSpace Software Solutions Limited, but the allotment was cancelled after the company failed to remit the land cost within the stipulated period under APIIC regulations. Eclat has been directed to commence commercial operations within 12 months of the sale agreement and fulfil its employment commitment within the following 12 months.
In another approval, the government allotted 49.93 acres at the APIIC Industrial Park in Rambilli, Anakapalle district, to CtrlS Datacenters Limited for establishing a 100 MW data centre with a proposed investment of `2,788.3 crore.
Besides the land allotment, the government approved a customised package of incentives for CtrlS, including capital subsidy, reimbursement of construction-related SGST, subsidised power tariff, electricity duty exemption, water tariff subsidy, waiver of Right of Way charges.