In a major escalation of its India infrastructure ambitions, Raiden Infotech India Pvt. Ltd., a subsidiary of Google, has submitted a proposal to establish Asia’s largest AI-powered data center in Visakhapatnam, Andhra Pradesh, with an estimated investment of ₹87,250 crore. This new proposal builds upon Google’s earlier ₹52,000 crore commitment for a separate 1 GW facility in the same region — marking a combined investment exceeding ₹1.39 lakh crore and positioning Andhra Pradesh as one of Asia’s most significant data infrastructure hubs.
According to official sources, Raiden has proposed a 1,000 MW AI-ready data center that will integrate high-performance compute infrastructure to support Google’s expanding AI and cloud ecosystem. The company has identified three sites across the erstwhile Visakhapatnam district—Adivivaram (120 acres), Tarluvada (200 acres), and the Rambilli–Achyutapuram cluster (160 acres)—totaling 480 acres. The facility is expected to commence construction in March 2026, with the first phase completed within two and a half years, and operations slated to begin by July 2028.
Expanding Scale: From ₹52,000 Crore to ₹87,250 Crore
This proposal follows Google’s earlier announcement of a ₹52,000 crore hyperscale data center in Vizag, designed to deliver 1 GW of compute capacity while integrating renewable energy infrastructure worth ₹17,500 crore. Together, the projects represent the largest single foreign tech investment in India’s digital economy.
The earlier project, announced in mid-2025, underscored Google’s intention to deepen its AI and cloud presence in India, coinciding with the rollout of its Gemini 2.5 Flash AI model for local processing. Andhra Pradesh’s coastal connectivity, favorable land availability, and policy support have made it a preferred destination for global cloud giants such as Microsoft, AWS, and Syfy Technologies, whose ₹16,000 crore facility is already under development.
Strategic Vision: A 2 GW AI Infrastructure Cluster
If both of Google’s Vizag projects are approved, Andhra Pradesh will host over 2 GW of combined data center capacity, making it a central node in Asia’s AI compute network. Officials estimate that the new Raiden project alone will require 2,100 MW of electricity, sourced from local distribution companies — with 465 MW for Adivivaram, 929 MW for Tarluvada, and 697 MW for Rambilli.
The proposal is currently being reviewed by a high-level state committee, which is assessing incentives and clearances required for the massive infrastructure build-out. The project will be financed by Raiden APAC Investment Holding Company, a Singapore-based majority shareholder of Raiden Infotech India and subsidiary of Google LLC, listed on Nasdaq.
Andhra Pradesh: India’s Emerging AI Infrastructure Frontier
Andhra Pradesh has been aggressively courting global data infrastructure investments as part of its digital economy vision. State IT Minister Nara Lokesh recently announced that Andhra has secured 1.6 GW in cumulative data center capacity, a figure that could double once Google’s new proposal is approved.
Industry analysts note that the Vizag coast offers natural advantages—including submarine cable landing stations and low seismic activity—making it ideal for high-density, energy-intensive AI data centers. The combined ₹1.39 lakh crore investment from Google’s subsidiaries is expected to generate thousands of skilled jobs, boost the renewable energy sector, and accelerate AI model training capabilities within India’s borders.
“This expansion cements India’s position as a strategic hub for AI compute and cloud infrastructure in Asia,” a senior government official said. “With global players investing at this scale, Andhra Pradesh is emerging as India’s Silicon Coast.”
