Visakhapatnam: Google on Tuesday announced plans to build the first artificial intelligence (AI) hub in India, pledging an investment of around $15 billion over the next five years. The hub will be located in Visakhapatnam, Andhra Pradesh, and is set to be a significant milestone in Google's global expansion strategy.

According to Anadolu Agency, a statement issued by Google outlined that the AI hub will integrate advanced AI infrastructure, a data center, large-scale energy sources, and an expanded fiber-optic network. This comprehensive setup marks Google's largest investment in India to date and is expected to generate substantial economic benefits.

The company's analysis predicts that the AI hub will contribute at least $15 billion to the American gross domestic product over the next five years. This growth is anticipated due to new economic activities stemming from increased cloud and AI adoption, as well as the involvement of American talent and resources in developing and operating the hub.

The initiative is expected to create significant economic and societal opportunities for both India and the United States, while also advancing AI capabilities globally. The investment includes constructing a new international subsea gateway, with multiple international subsea cables landing in Visakhapatnam, thereby connecting to Google's extensive network of terrestrial and subsea cables.

Google CEO Sundar Pichai mentioned that he discussed the development with Indian Prime Minister Narendra Modi and described the announcement as a 'landmark development.' He emphasized that the hub will bring Google's industry-leading technology to enterprises and users in India, fostering AI innovation and driving growth across the country.