October 17, 2025 — In a historic move for India’s digital landscape, Google CEO Sundar Pichai announced a $15 billion investment to establish the company’s first-ever Artificial Intelligence (AI) hub in India. The announcement came after a meeting with Prime Minister Narendra Modi in New Delhi, highlighting India’s growing prominence in the global AI ecosystem.
The planned hub will be located in Visakhapatnam, Andhra Pradesh, and marks Google’s largest AI investment outside the United States. This initiative aligns with the Indian government’s “Viksit Bharat 2047” vision, which seeks to accelerate AI-led innovation and digital services nationwide.
Key Features of the AI Hub
According to Google, the new Visakhapatnam AI hub will focus on three major pillars:
1. Gigawatt-Scale Compute Capacity
The facility will feature a purpose-built hyperscale data centre campus, providing one-gigawatt (GW) of computing power. This infrastructure will support training and deployment of advanced AI models and meet India’s growing demand for cloud-based AI solutions.
2. International Subsea Gateway
A new subsea fiber optic gateway will link Visakhapatnam with Google’s global network, boosting connectivity and positioning the city as a major AI and digital hub for Asia.
3. Large-Scale Energy Infrastructure
The hub will include robust energy infrastructure with clean energy generation, advanced storage systems, and upgraded transmission lines. This ensures long-term, sustainable operation while supporting India’s green energy goals.
Boosting India’s AI and Digital Economy
Sundar Pichai emphasized that the AI hub will accelerate innovation and growth for Indian businesses. “We aim to bring our industry-leading AI technology to enterprises and users in India, enabling faster innovation and inclusive growth,” he said.
Google Cloud CEO Thomas Kurian described the investment as a “landmark step in India’s digital future,” highlighting its potential to empower startups, enterprises, and research institutions with cutting-edge AI solutions.
The hub will utilize Google’s Tensor Processing Units (TPUs) for energy-efficient computing and support state-of-the-art AI models like Gemini, Imagine, and Veo. Local data storage will also help meet India’s sovereign AI requirements, ensuring security and compliance for Indian enterprises.
Economic and Employment Impact
The AI hub is expected to create significant opportunities, including:
- Up to 180,000 direct and indirect jobs in Visakhapatnam.
- Strengthening India’s AI and technology ecosystem.
- Partnerships with local firms, including the Adani Group, for data centre infrastructure.
This initiative positions Visakhapatnam as a major AI and technology powerhouse, attracting global talent and investment while reinforcing strategic US-India tech collaboration.
Outlook
Google’s $15 billion AI investment signals a transformative shift for India’s tech landscape. By combining advanced AI infrastructure, clean energy, and international connectivity, the hub is expected to drive innovation, job creation, and economic growth for years to come.
India is now set to become a key player in the global AI revolution, with Google leading the charge.
