The Andhra Pradesh government on Wednesday approved the setting up of Google’s $10 billion data centre in Visakhapatnam. The State Investment Promotion Board (SIPB), chaired by Chief Minister N Chandrababu Naidu, announced the approval of Google’s landmark hyperscale data centre, with the investment ranking among the largest digital infrastructure FDI commitments in India. “The project cements Andhra Pradesh’s leadership in attracting high-value, technology-led investments and accelerates the state’s transition to an AI-enabled digital economy,” a statement from Naidu’s office said. The data centre will directly or indirectly create 1.88 lakh jobs, and a Rs 10,518 crore annual GSDP boost is projected. The state government hopes this is also a step towards turning Vizag into an “AI City” – or a global hub for AI, cloud and data analytics. The data centre, the government hopes, will feed into ancillary sectors such as power, fibre optics, real estate, and telecommunications. It should also drive upgrades in road and power and enhance state revenues via SGST, electricity duty, and property tax after the incentive phase, Naidu said. According to independent assessments by Access Partnership and Google’s economic modelling, the project is projected to contribute an average of ₹10,518 crore to GSDP annually during the initial five years of operations (2028–2032), while supporting approximately 1,88,220 direct and indirect jobs per year across construction, data centre operations, engineering, information technology, and supply chain functions. Naidu said Google’s investment underscores global investor confidence in Andhra Pradesh’s governance, policy stability, and execution capability. The state, he said, offers single-window clearances, proactive facilitation, reliable power and water, renewable energy integration, and plug-and-play industrial infrastructure. The project is also aligned with the state’s push for green data centres integrated with renewable energy sources. The state also plans to develop a dedicated Emerging Technologies Cluster around the data centre to attract AI and cloud players.
