Google to build a $15bn AI data hub in India

Google to build a $15bn AI data hub in India

Google’s parent company, Alphabet, plans to invest $15 billion (£11.29 billion) to establish an AI data hub in Visakhapatnam, located in Andhra Pradesh, India. This facility is set to be the largest AI hub outside the United States, according to Thomas Kurien, CEO of Google Cloud. The investment is part of a broader initiative that will unfold over the next five years and integrates into Google’s existing network of AI centres across 12 countries.

India has become a significant location for AI data centres, mainly due to its low data costs and the rapid increase in internet users. The facility is expected to enhance AI innovation in the country, benefiting enterprises and users alike, as stated by Alphabet CEO Sundar Pichai. The Andhra Pradesh government is scheduled to formalize the agreement for the project.

Additionally, the project aims to combine cloud and AI infrastructure with renewable energy systems and enhance the existing fibre-optic network. This initiative aligns with the Andhra Pradesh government’s goal of achieving 6GW of data centre capacity by 2029.

Data centres play a crucial role in collecting, processing, storing, and distributing data. These facilities are equipped with servers, storage systems, networking equipment, and the essential power and cooling systems to operate effectively. In a bid to attract global investors, the Andhra Pradesh government has been providing subsidized land and electricity.

Over the past five years, India’s data centre industry has expanded significantly, reaching over 1GW capacity in 2024 and nearly tripling its capacity since 2019, according to JLL’s India Data Centre Market Dynamics report. This investment highlights the increasing global interest in India’s data infrastructure capabilities.

Source: https://www.bbc.com/news/articles/cx27yze8p0jo?at_medium=RSS&at_campaign=rss

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