After Google, Reliance Plans to Set Up 1-GW AI Data Centre in Andhra Pradesh

Reliance Industries Ltd signed a memorandum of understanding with the Andhra Pradesh government to set up a 1-gigawatt AI data centre in the state, Chief Minister Chandrababu Naidu said on Friday.

The modular facility will be developed as a twin to Reliance’s gigawatt-scale AI campus in Jamnagar, Gujarat, and is planned to be backed by a 6-GWp solar power project to meet its energy needs.

The agreement was announced on the opening day of the CII Partnership Summit in Visakhapatnam and was signed in the presence of Andhra Pradesh CM, IT and Industries Minister Nara Lokesh and Reliance Executive Director PMS. Prasad. State leaders described the deal as part of a broader push to position Andhra Pradesh as a major AI and data-centre hub.

India’s Growing AI Infrastructure

Reliance’s announcement follows recent large investments by global cloud players. Google last month unveiled a $15-billion commitment to create a gigawatt-scale AI hub in Visakhapatnam in partnership with Adani Group, underscoring a wider race to build domestic compute capacity for AI workloads.

Reliance and Google’s projects together push Andhra Pradesh toward multi-gigawatt data-centre ambition and signal growing private sector confidence in India’s AI market.

Reliance described the planned facility as “fully modular” and capable of hosting advanced GPUs, TPUs and other AI accelerators. State officials said the company will develop a large-scale solar project (about 6 GWp) to power the centre, reflecting industry emphasis on coupling compute expansion with renewable energy to control costs and emissions.

The company has said it will use these AI capabilities to deliver services through its digital platforms to students, farmers, entrepreneurs and consumers.

Why it Matters?

AI workloads require concentrated, energy-intensive compute clusters; companies that control local data-centre capacity can reduce latency for Indian users and avoid capacity bottlenecks. The Reliance project, together with Google’s hub and other announced investments, will significantly expand domestic AI infrastructure, supporting faster model training, lower operating costs for cloud customers and new industrial activity in the region.

The announcements are backed by MoUs and investment commitments unveiled at the summit; execution will depend on detailed project approvals, land and power allotments, regulatory clearances and construction timelines.