The Andhra Pradesh Government has announced the establishment of a 1 gigawatt (GW) data centre in Visakhapatnam by Digital Connexion, a joint venture of Reliance Industries, Brookfield and Digital Realty, involving an investment of Rs 980 billion by 2030. The MoU for the project was signed with the AP Economic Development Board (APEDB) on Wednesday, according to an official release.

The proposed data centre complex will be built to global standards, featuring high-density AI-ready racks, dedicated power substations, redundant power feeds and robust digital connectivity to support hyperscalers, enterprise clients, cloud operators and future AI workloads.

The State government said it would provide full support for seamless execution of the project, including the allocation of 400 acres of land, faster regulatory and environmental clearances, uninterrupted power supply, connectivity and other essential infrastructure.

The investment by Reliance and its global partners aligns with Andhra Pradesh’s long-term vision of becoming a national hub for AI, cloud infrastructure and technology-led growth. The government said it demonstrates a commitment to building a future-ready digital economy that empowers industries, investors and young talent, paving the way for sustained innovation and competitiveness.

The MoU is the latest major investment in data centres and electronics manufacturing — two priority sectors for the Union government — arriving in States governed by the National Democratic Alliance (NDA). Visakhapatnam is also set to host Google’s AI Hub, the tech giant’s largest investment in India at Rs 875.2 billion. Opposition leaders have alleged that the Centre is redirecting investments away from non-NDA governed States.

Of the ten semiconductor fabrication and OSAT plants approved under the India Semiconductor Mission, only one — Continental Device India Pvt Ltd’s Mohali facility — is located in a State governed by an Opposition party.

Andhra Pradesh recently signed another MoU with Tillman Global to develop a data centre campus worth Rs 150 billion.