Google Plans to Infuse over INR 520 Billion in an Indian Region for the Creation of Asia's Leading Data Center, According to Sources
India is set to become a hub for data center projects, with several major tech companies and Indian conglomerates announcing ambitious plans to establish large-scale data centers in the country.
Google, Microsoft, Amazon, and Lodha Developers are among the companies planning significant investments in India's digital infrastructure. Lodha Developers aim to build a 2-Gigawatt Green Data Center Park in Palava, while OpenAI and Indian entrepreneur Mukesh Ambani are considering projects of at least 1-Gigawatt and 3-Gigawatt respectively.
Andhra Pradesh, a state in southern India, has secured commitments for 1.6 Gigawatts of data center capacity and aims to build 6 Gigawatts over the next five years. The state's IT minister, Nara Lokesh, estimates that 10 Gigawatts of power, primarily renewable, will be required to support data center operations in the coming years.
Investment firm Blackstone, along with OpenAI, NTT Data, and Reliance Group, are reportedly considering large-scale data center projects in India. Microsoft has pledged $3.7 billion towards its cloud and AI infrastructure in India, and Amazon has committed $13 billion for its cloud and AI infrastructure in India by 2030.
Google plans to invest $6 billion in establishing a 1-gigawatt data center in Visakhapatnam, Andhra Pradesh, marking its first such investment in India and expected to be the largest data center project in Asia in terms of capacity and capital outlay. The project is being made despite prevailing macroeconomic uncertainties.
Three new undersea cable landing stations are being planned in Visakhapatnam, aiming to offer international bandwidth capacity 'two times what Mumbai has today.' The announcement follows a wider digital infrastructure race in India, where global tech companies are increasing investments to meet the demands of generative AI and cloud computing.
The investment forms part of Alphabet's broader $75 billion global commitment to data center expansion. The data center project is expected to transform India's position in the global digital economy. With these ambitious projects, India is poised to become a key player in the global digital landscape.