Google is making one of its largest bets on India's AI future with a $10 billion data center project in Andhra Pradesh. The massive investment signals how tech giants are racing to build the infrastructure backbone needed for AI's explosive growth, positioning India as a critical battleground in the global cloud computing wars.
Google just dropped a $10 billion bet on India's AI revolution, and the ripple effects are already reshaping the global cloud computing landscape. The tech giant announced plans to build massive data center infrastructure in southern India's Andhra Pradesh state, marking one of its most aggressive moves yet to capture the exploding demand for AI services in the world's most populous nation.
The announcement came Monday from Nara Lokesh, Minister for Human Resources Development of Andhra Pradesh, who revealed that Google will sign a memorandum Tuesday for a 1-gigawatt project. "This comes after a year of intense discussions and relentless effort, and is just the beginning," Lokesh posted on X, signaling even bigger investments could follow.
The investment will flow through Google's Indian subsidiary Raiden Infotech, which plans to develop three separate campuses across Visakhapatnam city, according to Economic Times reports. State officials are already eyeing a dramatic expansion - planning to scale up Andhra Pradesh's computing capacity to 6 gigawatts over the next three years.
This massive commitment reflects how desperately tech companies need infrastructure to keep up with AI's hungry appetite for computing power. Google's move comes just months after the company raised its 2025 capital expenditure forecast to $85 billion, up from $75 billion in February, citing "strong and growing demand for our Cloud products and services."
The India investment also follows Google's $25 billion commitment to AI and data center infrastructure across the biggest electric grid in the U.S. That massive domestic spending spree, announced in July, underscores how the company is betting big on AI infrastructure both at home and abroad.
But Google isn't alone in recognizing India's strategic importance. Microsoft recently announced a $3 billion investment in India's cloud and AI infrastructure over two years, while committed . The convergence of these massive investments signals that India has become ground zero in the global battle for AI infrastructure dominance.
