Adani Group announced a commitment to invest up to $5 billion in Alphabet‑owned Google’s AI data‑center project in Visakhapatnam, Andhra Pradesh, through its joint venture AdaniConneX, a partnership between Adani Enterprises and EdgeConneX.
The investment follows Google’s earlier announcement of a $15 billion, five‑year plan to build an AI hub in Andhra Pradesh. The new Adani‑backed facility will add capacity for Google Cloud’s AI workloads, reinforcing Alphabet’s strategy to scale its AI services in India’s fastest‑growing digital economy.
For Alphabet, the partnership secures a long‑term customer and expands its AI infrastructure footprint in a key market, supporting the company’s broader push to deliver end‑to‑end AI solutions. For Adani, the deal marks a significant entry into the data‑center sector, positioning the conglomerate in a market projected to exceed $100 billion by 2027 and aligning with its diversification into high‑growth digital infrastructure.
Visakhapatnam is emerging as a regional hub for data‑center development, attracting investments from Reliance Digital Connexion, Tata Consultancy Services, and others. The concentration of capital in the city signals intense competition to build the necessary infrastructure to support AI workloads, and the Adani‑Google partnership adds a new layer of depth to that race.
Management has indicated that the investment details are still being finalized, and the timeline for construction and operation remains undetermined. The project will also need to navigate regulatory approvals, land acquisition, and power sourcing agreements, all of potential headwinds for large‑scale data‑center development.
CFO Jugeshinder Singh noted that while Google is a key partner, other parties are also interested in collaborating as Adani’s data‑center capacity expands beyond gigawatt levels, underscoring the company’s broader ambition to become a leading provider of AI infrastructure in India.
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