Google Announces First AI Hub in Vizag, India

Google announced an artificial intelligence (AI) hub in Visakhapatnam (Vizag), Andhra Pradesh, India, with an investment of approximately $15 billion (USD) over five years (2026-2030), including a purpose-built data center campus and the construction of a new international subsea gateway in Visakhapatnam.

An MoU was signed between Google Cloud and the Andhra Pradesh government in Delhi. Union Finance Minister Nirmala Sitharaman called it a “momentous occasion.” Andhra Pradesh Chief Minister Nara Chandrababu Naidu congratulated his son, IT Minister Nara Lokesh, and thanked PM Modi for their role in bringing Google AI hub to Vizag. 

This partnership reflects Google's shared commitment to the Indian and U.S. governments to harness AI responsibly and drive transformative impact for society.

The AI hub in Vizag will enable Google to deploy its full AI stack with the aim of helping accelerate AI-driven transformation across India. The new AI hub will combine powerful AI infrastructure, data center capacity, new large-scale energy sources and an expanded fiber-optic network, all in one place.

Google will invest approximately $15 billion (USD) in the Vizag AI hub over five years (2026-2030). It is Google’s largest investment in India to date, and is aligned to the Indian Government’s Viksit Bharat 2047 vision to accelerate the expansion of AI-driven services.

According to an analysis conducted by Access Partnership and commissioned by Google, the AI hub is expected to generate at least $15 billion (USD) over five years (2026-2030) in American gross domestic product (GDP) 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.  This initiative creates substantial economic and societal opportunities for both India and the United States — while pioneering a generational shift in AI capability.

The Google AI hub in Visakhapatnam will include a purpose-built data center campus and the construction of a new international subsea gateway, including multiple international subsea cables to land in Visakhapatnam on India’s eastern coast.

Google will partner with AdaniConneX (a subsidiary of Adani Group) and Airtel to develop the purpose-built data center campus, adding gigawatt-scale compute capacity to help meet demand for digital services across India and around the world. It will be built with the same cutting-edge infrastructure that powers Google products like Search, Workspace, and YouTube.

The AI hub will also deliver the high-performance and low-latency services that businesses and organizations need to build and scale their own AI-powered solutions, accelerate research and development, and ultimately help India secure its place as a global leader in the AI-driven future.

When operational, the new data center campus will join Google’s network of existing AI data centers that spans 12 countries. It will benefit from technology developed by Google’s R&D centers in Bengaluru, Hyderabad and Pune, including the design and development of crucial software and hardware innovations.

The new international subsea gateway, including multiple international subsea cables to land in Visakhapatnam on India’s eastern coast, will connect to Google’s more than two million miles of existing terrestrial and subsea cables, such as Google's Echo cable system. This will establish Visakhapatnam (Vizag) as an AI and connectivity hub that not only serves India but the rest of the world.

The Vizag gateway will help India meet surging digital demands and provide route diversity to complement existing subsea cable landings in the Mumbai and Chennai areas. New high-capacity, low-latency pathways will deliver faster experiences to Google users and customers; increase the resilience and capacity of India's digital backbone; as well as drive digital inclusivity and transformation across India, bringing the benefits of AI to more people and businesses nationwide.

The announcement was made at Bharat AI Shakti, an event hosted by Google in New Delhi, and a pre-event to the  India-AI Impact Summit 2026. Key attendees included: Shri Ashwini Vaishnaw, Hon’ble Minister for Railways, Information & Broadcasting and Electronics & Information Technology, Government of India; Smt Nirmala Sitharaman, Hon’ble Minister of Finance and Corporate Affairs, Government of India;  Shri Nara Chandrababu Naidu, Hon’ble Chief Minister of Andhra Pradesh;  Shri Nara Lokesh, Hon’ble Minister for Information Technology, Electronics and Communications, RTG and HRD, Government of Andhra Pradesh; and Shri Thomas Kurian, CEO of Google Cloud.

According to The News Mute, the Andhra Pradesh government is set to grant subsidies and allot 480 acres the Google Vizag AI hub, which is being built in partnership with the Adani Group and Airtel. It will have a capacity of 1 gigawatt. 

An official from the Andhra Pradesh government listed the incentives being offered towards the Google Vizag AI hub, but claimed that these are not so different from industrial subsidies usually offered by other states such as Karnataka. The Andhra Pradesh government is giving a 25% discount on the market price of the 480 acres of land to Google. Apart from this, there is a waiver on stamp duties, a 25% discount of the price of industrial water supply, exemption on electricity duty and a one-rupee discount on industrial tariff for electricity. The concession that is being questioned the most is the 100% reimbursement of State GST during the construction phase. Currently, the industrial tariff for electricity is around Rs 5 to 7 per unit, which means the discount is about 15-20%. The subsidies will continue for about 15 years for electricity and 10 years for water. The State GST waiver is capped at Rs 2,245 crores, which is about 2.5% of the Rs 87,520 crore investment on the data centre.

The Andhra Pradesh government has been aggressively pushing to develop Vizag into a major technology hub.

In addition to the Google Vizag AI hub, Sify Technologies also announced a major investment of ₹15 billion (US$180 million) to develop a 50 MW AI-powered edge data center and open cable landing station in Visakhapatnam (Vizag). Meta's Waterworth subsea cable is expected to land in Vizaq and Mumbai.