In a transformative moment for India’s digital future, the Government of Andhra Pradesh and tech giant Google signed a historic Memorandum of Understanding (MoU) on October 14, 2025, in New Delhi. The agreement paves the way for the establishment of a state-of-the-art, AI-powered data centre in Visakhapatnam with a staggering investment of ₹87,520 crore.
This ambitious project, led by Andhra Pradesh Chief Minister N. Chandrababu Naidu and driven on the technology front by State IT Minister Nara Lokesh, marks a defining chapter in India’s journey towards becoming a global technology leader.
One of Google’s Biggest Global Bets, Right in Visakhapatnam
The upcoming facility will house a one-gigawatt capacity AI data centre, making it the largest of its kind in India and one of the most advanced globally. The centre will support multiple sectors including healthcare, education, agriculture, and manufacturing, while connecting Visakhapatnam with over a dozen countries , including Singapore, Malaysia, and Australia through an international subsea cable network.
Google Cloud CEO Thomas Kurian, who was present at the MoU signing, called this the company’s largest investment outside the United States. He noted that Visakhapatnam is poised to become a global connectivity and innovation hub.
Nara Lokesh at the Forefront of Andhra’s Tech Revolution
Andhra Pradesh IT Minister Nara Lokesh played a central role in securing this landmark deal. His tireless efforts, sharp focus on future technologies, and long-term vision have helped place Andhra Pradesh at the heart of India’s digital transformation.
Calling the announcement a “historic day” for the state, Lokesh remarked, “Data centres are the new refineries of the modern world. Under the leadership of Chandrababu Naidu, we are building the infrastructure for a digital economy. Google’s arrival puts Andhra Pradesh on the global technology map.”
Lokesh also urged Google to collaborate with the state on initiatives like Real-Time Governance, and emphasized the project’s potential to boost local innovation, AI research, and job creation across multiple tech sectors.
PM Modi Backs the Project: “AI for All, Technology for Every Citizen”
Prime Minister Narendra Modi welcomed Google’s investment, calling the Visakhapatnam data centre a “powerful force in democratising technology.” In a post on X (formerly Twitter), he said the project aligns with his vision of a Viksit Bharat and will help bring “AI for All,” accelerating India’s position as a global digital leader.
Modi is also considering hosting a Global AI Summit in Visakhapatnam in February 2026, recognizing the city’s new role on the international tech stage.
Big Numbers, Bigger Vision
This mega project is expected to attract $15 billion in phased investments over the next five years. Beyond infrastructure, it promises to train and nurture world-class AI talent, drive massive employment, and set up Andhra Pradesh as a gateway for digital services between India and Southeast Asia.
Union Finance Minister Nirmala Sitharaman and Union Minister for IT and Railways Ashwini Vaishnaw also expressed their support. Vaishnaw called Andhra Pradesh a “technology-first state” and credited the central government’s Data Center Policy for enabling such large-scale initiatives.
He also confirmed that the new data hub would be linked to India’s northeast through Myanmar, expanding India’s digital footprint and global connectivity.
CBN’s Signature Move: From Microsoft in Hyderabad to Google in Vizag
Chief Minister Chandrababu Naidu reflected on the moment with pride and a sense of continuity. “When I was Chief Minister earlier, we brought Microsoft to Hyderabad. Now, we are bringing Google to Visakhapatnam,” he said.
He added that the state’s ‘One Family, One Entrepreneur’ policy is designed to ensure innovation and technology reach every home. “With real-time and historic data at our fingertips, we can make faster, better decisions. This is the future we are building for Andhra Pradesh,” he said.
Conclusion:
With the signing of this MoU, Andhra Pradesh is not just setting up a data centre, it is shaping the digital landscape of the next generation. The Google AI Hub in Visakhapatnam will become a beacon for innovation, talent, and international collaboration. For India, this is more than an investment. It’s a bold step toward achieving the goal of a Developed India by 2047. And for Andhra Pradesh, this is the beginning of a new digital era.