Data centres planned in Visakhapatnam are reshaping the economy: Report

The data centres planned in Visakhapatnam is estimated to create over 50,000 jobs and generate demand for 2.33 crore sq ft of residential real estate. This has been cited in a research report from the private real estate company Square Yards, titled: How India’s Data Centre Revolution Is Rewriting Real Estate. The report details how the Andhra Pradesh government is working towards developing Vizag into a digital infrastructure hub.

With more than 250 data centres proposed by 2030, Visakhapatnam is set to become one of India’s biggest digital infrastructure hubs, with a growing ecosystem of data centres and planned projects. This ecosystem is projected to create 51,840 jobs, including 3,240 direct jobs and 48,600 jobs across related sectors such as maintenance, electrical works, hospitality, warehousing, construction, retail, transport, and other support services.

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According to the report, the impact of data centres will not be limited to the campuses but will also extend to the cities around them, where business and services will grow. This, in turn, will attract investments in commercial infrastructure, fibre connectivity, power, utilities, and logistics.

The proposed Google data centre, with a $15 billion budget and a capacity of 1 GW, has been commissioned and is expected to be completed by 2028. This single project is estimated to generate Rs 10,000 crore in revenue for Andhra Pradesh.

Growth from data centres is expected to generate demand for 2.33 crore sq ft of residential real estate in and around Visakhapatnam, as people move to the city for jobs and businesses expand to support the growing digital economy. Along with the residential area, the report suggests growth in commercial spaces, retail centres, civic infrastructure, and warehouses.

Data centres are a leading driver of urban growth in India, attracting large-scale investments and creating a strong system of ancillary industries. The report noted that particular initiatives can reshape local economies and drive broader transformation.

Visakhapatnam is named as a rising hub, appearing in the “Top 10 Data Centre Developments in India” list. Google & AdaniConneX AI Hub in Visakhapatnam ranks first nationally by proposed IT load capacity, which is 1,000 MW (1 GW), ahead of even Lodha’s Mumbai park (700 MW) and Microsoft’s Hyderabad campus (600 MW).

With this extensive list of global investments announced and in motion for Visakhapatnam, the report states that the city is well positioned to lead the next phase of infrastructure-led growth and job creation in Andhra Pradesh.

Also read: Yo! Exclusive: Visakhapatnam’s Medical Clowns Turn Hospital Wards Into Happy Places 

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