Andhra Pradesh secured US$175 billion in investments covering 760 projects, including Google’s largest AI infrastructure hub outside the US.
According to Stanford’s Human-Centred AI Institute, India holds third place in global AI power rankings, sitting above South Korea and Japan. NEW DELHI: As India races to narrow the artificial intelligence gap with the US and China, it is planning a vast new ' data city ' to power digital growth on a staggering scale, the man spearheading the project says.
'The AI revolution is here, no second thoughts about it,' said Nara Lokesh, information technology minister for Andhra Pradesh state, which is positioning the city of Visakhapatnam as a cornerstone of India's AI push. 'And as a nation... we have taken a stand that we've got to embrace it,' he told AFP ahead of an international AI summit next week in New Delhi. Lokesh boasts the state has secured investment agreements of US$175 billion involving 760 projects, including a US$15 billion investment by Google for its largest AI infrastructure hub outside the US. And a joint venture between India's Reliance Industries, Canada's Brookfield and US firm Digital Realty is investing US$11 billion to develop an AI data centre in the same city. Visakhapatnam – home to around two million people and popularly known as 'Vizag' – is better known for its cricket ground that hosts international matches than cutting-edge technology. But the southeastern port city is now being pitched as a landing point for submarine internet cables linking India to Singapore. 'The data city is going to come in one ecosystem... with a 100km radius,' Lokesh said. For comparison, Taiwan is roughly 100 kilometres wide. 'Whole nine yards' Lokesh said the plan goes far beyond data connectivity, adding that his state had 'received close to 25% of all foreign direct investments' to India in 2025. 'It's not just about the data centres,' he explained while outlining a sweeping vision of change, with Andhra Pradesh offering land at one US cent per acre for major investors. 'I'm chasing the companies that make those servers that go sit in those data centres, the companies that make the entire air conditioning, the water-cooling system – the whole nine yards.' The 43-year-old, Stanford-educated minister is the son of Andhra Pradesh chief minister N. Chandrababu Naidu, who helped turn Hyderabad into a major technology hub that is dubbed 'Cyberabad'. They are allies of Prime Minister Narendra Modi, who will host the AI Impact Summit from Monday. India is now third in a global AI power ranking – sitting above South Korea and Japan – based on more than 40 indicators from patents to private funding calculated by Stanford University's Institute for Human-Centred AI. With more than a billion internet users, India has seen a surge of investment as generative AI players seek inroads to the world's most populous country. Microsoft said in December it will invest US$17.5 billion to help build the country's artificial intelligence infrastructure, with CEO Satya Nadella calling it the firm's 'largest investment ever in Asia'. But critics say India lags in access to high-end computing power or commercial AI deployment and remains more a consumer than a creator of the cutting-edge technology. Some question whether data centres will create meaningful employment when up and running, but Lokesh rejects that. 'Every industrial revolution has always created more jobs than it has displaced,' he said. 'But it has created those jobs in countries that have embraced the industrial revolution.' 'Learned from China' Lokesh argues that the jobs and economic benefits would more than compensate for the giveaway cost of land. He said the state government had accounted for the vast electricity and water demands for the energy-hungry industry and would tap 'surplus water' that drains into the Bay of Bengal to cool the massive data centres. 'It's a crime that so much water during monsoons goes into our oceans,' he said. He cited China as an inspiration, admiring how India's rival had 'been able to systematically bring people out of poverty' at speed. The state's plan to create industrial clusters was something he had 'learned from China'. With a target of six gigawatts of data centre capacity – three already signed and another three in the pipeline – Andhra Pradesh is betting that speed and scale will give it an edge. New Delhi last year agreed to 'in-principle approval' for six 1.2 GW nuclear power plants at Kovvada in Andhra Pradesh. 'We are on a journey,' Lokesh said. 'We will execute these projects at a pace that the country has never seen.'
AI Expansion AI Infrastructure Data Centers Data City Digital Growth India AI India Technology Tech Investment Visakhapatnam AI
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Ringgit Ends Week Lower Against US Dollar Amid Profit-Taking and Strong Economic DataThe Malaysian ringgit closed the week slightly down against the US dollar after reaching a recent high, as investors took profits ahead of the Chinese New Year holiday. Despite the slight dip against the USD, the ringgit performed well against most other major currencies. This fluctuation occurred amidst strong economic growth data for the fourth quarter of 2025, which exceeded expectations and supported the currency's overall strength.
Read more »
Experts: Disperse data centres to reduce resource strainMILAN, Feb 13 (Reuters) - The International Skating Union (ISU) on Friday defended the judging of the ice dance event at the Milano Cortina Olympics after the silver-medal performance by Americans Madison Chock and Evan Bates sparked widespread debate among fans.
Read more »
Musk's AI chatbot Grok gains US market share amid sexualized images backlash, data showsMUNICH, Feb 13 (Reuters) - Ukrainian President Volodymyr Zelenskiy on Friday awarded a top state honor to an Olympic skeleton racer who was disqualified from the Winter Games for wearing a helmet commemorating athletes killed in the war with Russia.
Read more »
India and Pakistan to Clash in T20 World Cup Amidst Boycott ThreatIndia and Pakistan are set to meet in the Twenty20 World Cup in Colombo. The match comes after a period of tension, including a boycott threat from Pakistan that was later withdrawn. This fixture is a key element of the tournament, shaped by complex geopolitical dynamics and strained relations between both countries and other nations. The report includes context of the boycott's impact on broadcasters, the ICC's efforts to resolve the situation, and India's past dominance over Pakistan.
Read more »
Global Leaders to Attend India-AI Impact Summit 2026Over 20 world leaders, including French President Emmanuel Macron and Brazilian President Luiz Inacio Lula da Silva, are set to attend the India-AI Impact Summit 2026 in New Delhi. The summit, anchored in the themes of People, Planet, and Progress, will bring together policymakers, innovators, and experts to discuss the future of AI. Ministerial delegations from over 45 countries and officials from international organizations will also participate.
Read more »
India Plans 'Data City' to Boost Digital GrowthIndia is planning a vast new 'data city' in Visakhapatnam to power digital growth and narrow the AI gap with the US and China. The project, spearheaded by Andhra Pradesh's IT Minister Nara Lokesh, involves significant investments and aims to create a comprehensive digital ecosystem.
Read more »