Google’s Raiden Infotech to get Rs 22,000 cr incentives from Andhra for Vizag data centres

Google’s Raiden Infotech will invest over ₹87,500 crore in Andhra Pradesh for gigawatt-scale data centres, receiving ₹22,000 crore in government incentives. The project is expected to create thousands of jobs and strengthen AP’s position as a digital hub.

Amaravati: Raiden Infotech India Pvt Ltd, a Google company, which is setting up data centers in a phased manner, with a cumulative investment exceeding 87,500 crores in Andhra Pradesh, will receive Rs 22,000 crore as incentive from the state government over a period of time.

According to a recent Government Order, Raiden Infotech will set up more than 1000 MW data centers in a phased manner, with a cumulative investment of Rs 87,520 Crores in Visakhapatnam and Anakapalli districts.

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In its biggest ever investment in India, tech giant Google on Tuesday said it will invest USD 15 billion in building an AI infrastructure hub in AP, which would include a gigawatt-scale data centre in partnership with Adani Group.

The AP government has signed a mega deal with Google to set up a USD 15 billion gigawatt-scale Artificial Intelligence data centre in Visakhapatnam.

“SIPB ( State Investment Promotion Board) has decided to extend the above-listed incentives with an overall cap of Rs 22,002 crore. The above SIPB recommendations were placed before the council of ministers in its meeting dated 10.10.2025 and the same was approved,” the GO said.

As part of the incentive package, the state government offered a 25 per cent discount on the land- 160 acres at Rambilli, 120 acres at Adavivaram and Mudasarlova, 200 Acres at Tarluvada.

The land shall be made available to the notified partners of Raiden Infotech India after approval from the competent authority. In addition to this, allotment of up to 15 acres is made available to the investor for a landing cable station after confirmation from the project proponent.

The government will also give 100 per cent exemption of stamp duty and registration charges besides 10 per cent capital subsidy on plant and machinery for a period of 10 years.

There will be 100 per cent reimbursement of net SGST accrued to the state on construction capped to Rs 2,245 crore. The incentive would be extended for a period of 10 years or until the project reaches its maximum capacity, whichever is earlier.

The power shall be provided with a discount of Rs 1 per unit for a period of 15 years. The total incentive component is limited to Rs 4,800 crore. The incentive shall be made available for the first 10 years of the operations. Upon achieving the milestones of the proposed investment and proposed capacity, it shall be extended for a subsequent 5 years.

Data centre capacity is typically measured by the power it consumes. The planned 1 GW (1000 MW of electricity consumption at full capacity operation) facility in Visakhapatnam is expected to use electricity equivalent to nearly 50 per cent of Mumbai’s annual consumption.

Chief Minister N Chandrababu Naidu on Tuesday said Google had earlier announced an investment of USD 10 billion, which they increased to USD 15 billion.

Data center investments in Andhra Pradesh will not only create thousands of direct and indirect jobs but also drive innovation, attract global players, and position Andhra Pradesh as a digital powerhouse in the national and international landscape, the GO said.