Google Unveils $15 Billion Plan for AI-Driven Data Center Network in India

Google has unveiled plans to commit USD 15 billion towards developing new data center infrastructure for a major artificial intelligence hub in southern India, Google Cloud CEO Thomas Kurian disclosed at an event on Tuesday. The five-year investment plan signals Google’s largest AI hub outside the United States, Kurian said.

The announcement comes shortly after Nara Lokesh, Minister for Human Resources Development of Andhra Pradesh, estimated the value of the 1-gigawatt project at USD 10 billion earlier this week. Lokesh, posting on the social media platform X, noted that the agreement follows “a year of intense discussions and relentless effort,” describing it as “just the beginning.”

Citing previous reports from The Economic Times, Google is planning the investment via its Indian entity, Raiden Infotech, which expects to construct three new campuses throughout Visakhapatnam. On Tuesday, the media outlet noted that state officials aim to further accelerate similar initiatives and significantly expand computing capabilities over the coming three years.

The tech sector is ramping up infrastructure spending to address the rapid rise in global demand for cloud services, driven by widespread AI adoption. Reflecting this trend, Google in July increased its 2025 capital expenditure forecast to USD 85 billion, up from a previous USD 75 billion projection in February, attributing the revised figures to “strong and growing demand for our Cloud products and services.”

Further expanding its AI footprint, Google also announced plans to invest USD 25 billion in data center and artificial intelligence infrastructure across states with the largest electric grid in the U.S.

India is rapidly solidifying its position as a hub for global tech investments, drawing in major players like Microsoft and Amazon Web Services to bolster the country’s cloud and AI infrastructure networks.