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Visakhapatnam Emerges as Major Digital Gateway with USD 15 Billion Google AI Data Centre

Visakhapatnam, India - Tuesday marked a significant milestone for India's AI ecosystem with the foundation-laying ceremony of the USD 15 billion Google AI data centre near the port city. The project, developed in partnership with AdaniConneX and Nxtra by Airtel, aims to establish a gigawatt-scale AI ecosystem aligned with the vision of Viksit Bharat (developed India).

Key Players in the Construction

Adani Group Director Jeet Adani and Bharti Enterprises Vice Chairman Rakesh Bharti Mittal were instrumental in underlining the importance of infrastructure, energy, and connectivity in shaping India's AI ecosystem. Adani noted that the Adani Group and Airtel are playing a key role in the construction of the data centre. He emphasized that the global AI race is being defined not only by software but also by the ability to build large-scale infrastructure, with India standing at a crucial juncture.

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Transformative Impact

The project aims to establish a gigawatt-scale AI ecosystem, with nearly 1 GW of data centre capacity envisioned in a single location in Visakhapatnam. This reflects the scale of the transformation, with India currently having about 1.3 GW of data centre capacity. Energy remains central to the AI ecosystem, with Adani highlighting that the cost of intelligence is directly linked to the cost of power and that affordable energy will drive widespread adoption.

StateData Centre Capacity (GW)
India1.3
Visakhapatnam1 (planned)

Digital Gateway and Energy Efficiency

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The development of undersea cable infrastructure in the port city would position it as a new digital gateway, reducing latency and enabling faster AI workloads. Mittal emphasized that strong fibre networks and digital infrastructure will support the evolution of Visakhapatnam into a gateway for the intelligence age. The initiative will include a state-of-the-art cable landing station and robust intra-city and inter-city fibre networks to enhance resilience and capacity.

Sustainability and Partnerships

Nxtra by Airtel currently operates over 120 data centres across India, with the upcoming project being sustainable and powered by renewable energy. Both corporate leaders emphasized that strong partnerships involving global technology firms and domestic infrastructure providers will play a key role in building India's AI capabilities. They noted that lower energy costs would reduce the cost of computing, training, and deployment of AI models, making the technology more accessible and scalable.

Andhra Pradesh's Leadership

Andhra Pradesh's focus on speed, policy clarity, and execution is helping attract large-scale investments and positioning Visakhapatnam at the centre of India's AI ambitions. The state's leadership has consistently demonstrated policy clarity and execution capability, with Chief Minister N Chandrababu Naidu leading the way. The project is expected to drive innovation, expand access to technology, and create new economic opportunities across sectors.

Investor Takeaway

Investors should consider the potential growth of India's AI ecosystem and the role of key players like Bharti and Adani in shaping it.

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