Google’s $10B India Expansion

Alphabet’s Google (NASDAQ: GOOG, GOOGL) is preparing to invest $10 billion to build a 1-gigawatt data center cluster in Visakhapatnam, Andhra Pradesh, according to The Economic Times.

The deal will be finalized between Google executives and Andhra Pradesh IT Minister Nara Lokesh on October 14 in New Delhi.
The state’s Investment Promotion Board is expected to clear the proposal this week.

Facility Details

The data center project will include three campuses located in:

Adavivaram village (Visakhapatnam district)
Tarluvada village (Visakhapatnam district)
Rambilli village (Anakapalli district)

Target operational date: July 2028.
At full scale, the project will provide 1 gigawatt of capacity, making it one of the largest single-location cloud investments in India.

Strategic Significance

This will be Google’s largest-ever direct investment in India’s digital economy.
It underscores the rising demand for cloud and AI-driven infrastructure in the country.
Currently, Amazon (AMZN), Microsoft (MSFT), and Google together hold ~30% of India’s data center demand, expected to grow to 35% in the coming years.

Broader Industry Context

U.S. tech giants are ramping up global data center expansion amid the AI boom:

Google: $4B Arkansas data center (2027) + £5B U.K. expansion (Waltham Cross).
Meta (META): Plans ~$600B U.S. data center investments through 2028.
Microsoft & Amazon: Expanding Indian data center footprint.

Why It Matters

Positions Google as a major player in India’s cloud ecosystem, a market critical to global AI adoption.
Reinforces India’s role as a strategic hub for digital infrastructure investment by U.S. tech leaders.
Could accelerate local innovation in AI, enterprise cloud, and digital services.