Google announced a major investment of $15 billion in India over the next five years, marking a significant expansion of its operations in the country, according to AFP.
The investment will include the establishment of a large-scale artificial intelligence (AI) hub and a new data center in Visakhapatnam, a port city in Andhra Pradesh.
Google Cloud CEO, Thomas Kurian, revealed the plans at a ceremony in New Delhi, emphasizing that the AI hub would be the largest Google investment in AI outside of the United States.Â
“This hub combines gigawatt-scale compute capacity, a new international subsea gateway, and large-scale energy infrastructure,” Kurian said. He added that the AI center would serve as a digital backbone, connecting various parts of India.
The AI hub is designed to meet the growing demand for AI solutions among businesses and individuals in India, where the internet user base is expected to exceed 900 million by the end of the year. The project is set to scale up to multiple gigawatts, ensuring a powerful infrastructure for AI development in the country.
In a statement shared on X, Google CEO Sundar Pichai noted that he had discussed the landmark investment with Indian Prime Minister Narendra Modi, emphasizing its potential to drive AI innovation and economic growth across India. “Through it, we will bring our industry-leading technology to enterprises and users in India,” Pichai wrote.
The Indian government has welcomed the investment, with Information Technology Minister Ashwini Vaishnaw highlighting the importance of the digital infrastructure in supporting the country’s AI ambitions. “This digital infrastructure will go a long way in meeting the goals of our India AI vision,” he stated.
Andhra Pradesh Chief Minister Chandrababu Naidu and Technology Minister Nara Lokesh also praised the investment, calling it a “very happy day” for the state and a step forward in India’s role on the global tech stage. Lokesh described data centers as “the new refineries,” likening data to “the new oil.”
This move by Google follows a wave of similar announcements from major AI firms aiming to tap into India’s growing tech ecosystem. Recently, US startup Anthropic revealed plans to open an office in India next year, while OpenAI is set to open its own office later this year. AI firm Perplexity also partnered with Indian telecom giant Airtel to offer its services to 360 million customers.
The new Google investment aligns with India’s increasing focus on harnessing AI for economic growth, particularly in the technology and digital infrastructure sectors.
