
Google has significantly accelerated its timeline for the ₹31,387-crore AI data centre project in Visakhapatnam, with Alexander Smith, principal of Global Infrastructure and Energy for Asia Pacific at Google, announcing that the first phase of the 1 GW AI data centre will be operational by late 2028. Speaking to Business Standard, Smith revealed that the company expects to complete construction within 24-30 months and start initial operations soon thereafter. The announcement comes after Google broke ground and began construction in April 2025, with the company having committed an investment of $15 billion in India between 2026 and 2030 to accelerate AI transformation in the country.
The facility will be located at Amanam village in Bheemunipatnam mandal and is projected to generate employment for up to 1,000 people, as reported by Business Standard. Google has announced an additional initiative to train 10,000 women from nearby communities in basic IT and AI-related aspects as part of its commitment to be a "good neighbour" to Visakhapatnam residents. Smith explained that "a lot of the work we are doing at the moment is looking at the detailed assessment of what skills need to be built in the long run with the local population." The project is positioned to serve as a major employment generator in the region, supporting the state's broader economic development objectives.
Google is developing comprehensive connectivity infrastructure to support the AI hub, including intercontinental subsea cables for direct connectivity to Singapore, Australia, West Asia and Europe, with connectivity extended to the United States. Smith explained that "Visakhapatnam will become like that hub-and-spoke model from where the cable will head into some of the major metros you can think of. We will be building that really dense high-capacity fibre network." The company will also lay intercity high-speed cables to connect the Visakhapatnam data centre hub to other cities. The 1 GW data centre hub will be air-cooled and powered by green energy, with Smith noting that "the total water usage of the AI hub, therefore, will be akin to the water usage of a corporate office of that size."
The Andhra Pradesh High Court on Monday directed the state government to ensure that work on the proposed $15-billion Google-Adani data-centre project in Visakhapatnam is carried out with the required legal and environmental permissions. As per Mint, a bench led by Chief Justice Lisa Gill made the observations after being told that work at the site had already begun. The court emphasized that "environmental clearances cannot be given a go by," directing authorities to ensure that work at the site is carried out with the necessary permissions. The court also asked the government to file a consolidated response from the departments involved in the project's approvals, with the matter scheduled for hearing next week.
The legal challenge raises significant concerns over 160 acres of Simhachalam Devasthanam land, the project's proximity to a protected area, and environmental clearances. According to Mint, petitioner Bolisetty Satyanarayana argued that the environmental clearance covered building construction but not data-centre operations, stating "The environment clearance is only for the building. It's not for the data centre." The petitioner also questioned whether the project's resource requirements had been properly assessed, particularly regarding water and electricity from a nearby reservoir. The state disputed the petitioner's claim over temple land, stating it was leased to the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) rather than transferred, with the arrangement providing the temple about ₹26 crore per annum.