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Visakhapatnam Emerges as India’s Major Data Centre Hub
Visakhapatnam, also called Vizag, is becoming a centre for large computer facilities called data centres.
Google plans to build a very large artificial-intelligence data centre there.
The project is expected to cost $15 billion and use a lot of electricity and technology.
Other companies also want to build data centres in the region.
Government officials say these projects will bring investments, jobs, and new businesses.
They also say special plans will provide water without taking it away from local residents.
The projects could create jobs in construction, transport, power, housing, and other services.
Environmental groups worry that the facilities may use too much water, land, and electricity.
They are also asking for more transparency and public discussion before the projects proceed.
Google is developing a 1-Gigawatt hyperscale AI data centre in Visakhapatnam with a stated investment of $15 billion.
The project spans sites in Tarluvada, Rambilli, and Adavivaram, with the first phase expected to take two years.
Other proposed facilities could bring major investments and more than 51,800 jobs across Visakhapatnam and Anakapalli.
The Andhra Pradesh government says policies, power availability, water plans, and infrastructure are attracting data-centre companies.
Environmental groups question the projects’ water and power use, fast-tracked approvals, incentives, and lack of public consultations.
- Who
- Google, the Andhra Pradesh government, and several proposed data-centre developers are involved; environmental groups and activists are raising objections.
- What
- Visakhapatnam and nearby areas are developing a large data-centre and artificial-intelligence infrastructure cluster.
- Where
- The projects are planned across Visakhapatnam and Anakapalli, including Tarluvada, Rambilli, Adavivaram, Mudasarlova, and Anakapalli.
- When
- The Google project was announced and formally ground-broken in 2025; its first phase is expected to be completed in two years, while the government says water delivery could begin within 18 months.
- Why
- The state government wants to attract investment, create jobs, expand digital infrastructure, and build a regional AI hub, while companies are drawn by available power, sites, infrastructure, and investment incentives.
Project Supporters
Environmental Critics
Economic development
Project Supporters
The Andhra Pradesh government and project supporters say the data-centre cluster will attract investment, create jobs, expand infrastructure, and establish Visakhapatnam as a regional AI and digital hub.
Environmental Critics
Critics question whether the promised benefits justify the environmental and infrastructure pressures associated with large data centres.
Water and power use
Project Supporters
The state government says the facilities will receive industrial water from the Polavaram project without diverting supplies from residents, and that regional power availability supports the projects.
Environmental Critics
Environmentalists and people’s groups warn that data centres’ large demands for water and electricity could worsen water scarcity and strain the local ecosystem.
Approvals and transparency
Project Supporters
Officials say the government is following clear project timelines and offering industry-friendly policies, fiscal incentives, and ease of doing business.
Environmental Critics
Green Visakha and other activists allege that approvals were fast-tracked, incentives were unfair, and public consultations were absent or inadequate.
Key facts
- Google investment
- $15 billion
- Google facility
- 1-Gigawatt hyperscale AI data centre
- Google sites
- Tarluvada, Rambilli, and Adavivaram; related campus land totals 601 acres according to the reports.
- Google construction employment
- Nearly 25,000 jobs during the construction phase
- Broader employment estimate
- Proposed data-centre projects could generate 51,840 jobs, including 3,240 direct jobs and 48,600 allied-sector jobs.
- Other major proposals
- ReNew Energy Global proposed a ₹85,200 crore facility, while Data Centre Holdings India LLP proposed a ₹58,743 crore facility.
- Water plan
- The state says industrial water from the Polavaram project will be supplied through a gravity-based system and dedicated pipelines.
Quotes
N Chandrababu Naidu
Chief Minister of Andhra Pradesh
“So far, Vizag has been synonymous with the ‘Steel city’ (because of Visakhapatnam Steel Plant). But now, it is gaining popularity as an AI data hub”
thehansindia.com
“Even as Google is the most sought-after search engine the world relies on, the global giant selected Andhra Pradesh to set up its Cloud AI Hub.”
thehansindia.com
Environmentalists, people’s groups, and activists
Groups campaigning against the data-centre projects in and around Visakhapatnam
“Why do we need data centres, especially when developed countries like the US turned them down? Also, at a time when Vizag is already reeling under water scarcity?”
thehansindia.com
Sources
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