Andhra Pradesh has secured major investments from Google and Indian ICT company Sify, totaling $7.9 billion, to develop large-scale data centers in the state. These projects are expected to add 1.55 gigawatts of data infrastructure capacity and significantly boost the state’s digital capabilities.
Google will invest $6 billion to build a 1 gigawatt data center in Visakhapatnam, making it one of the largest such projects in Asia in terms of both scale and investment. Of this amount, $2 billion is allocated specifically for the development of renewable energy. The facility will prioritize sustainability, with a major portion of the power supply coming from green energy sources.
In a parallel development, the Andhra Pradesh state cabinet has approved a $1.9 billion investment by Sify to establish a 550 megawatt data center. These investments align with the state’s recently introduced IT and Global Capability Centers Policy 4.0, which runs from 2024 to 2029. The policy offers various incentives including capital subsidies, rental assistance, and tailored packages to attract large technology projects.
State IT Minister Nara Lokesh shared that Andhra Pradesh has already secured 1.6 gigawatts in data center commitments and aims to reach 6 gigawatts within the next five years. The state is also planning to set up three new undersea cable landing stations in Visakhapatnam, which could position the city as a major digital gateway for India and Southeast Asia.
A key highlight of these projects is their potential to create substantial employment in areas such as technology, operations, and support services. To prepare for this, the state is aligning its workforce development programs, including the Future Skills Credit Scheme, to meet the skill demands of the upcoming projects. Andhra Pradesh also aims to generate 10 gigawatts of renewable power over the next five years to support the growing infrastructure needs.
These developments mark a significant step toward making Andhra Pradesh a hub for data infrastructure and clean technology investment.
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