Alphabet-owned Google is exploring fresh investments in India focused on artificial intelligence (AI) infrastructure and the local manufacturing of servers and drones, Union Minister Ashwini Vaishnaw said on Friday. Sharing details of his meeting with Google executives on social media platform X, Vaishnaw said the company is evaluating opportunities across AI infrastructure development as well as electronics manufacturing in India.
“Google is exploring investments in India across AI infrastructure and the manufacturing of servers and drones,” he said. The development comes amid increasing global investments in AI capabilities and data centre expansion. The minister’s remarks also come shortly after Google CEO Sundar Pichai announced that the company would raise its total capital expenditure to $185 billion this year, largely driven by aggressive investments in AI infrastructure.
Speaking at the Google Cloud Next 2026 summit last month, Pichai said more than half of Google’s machine learning computing resources would now be allocated to its cloud business. Google has already unveiled a massive $15 billion investment plan in Andhra Pradesh to build what it described as a ‘gigawatt-scale AI ecosystem’ in Visakhapatnam.
As part of the initiative, the company in April began work on its India AI Hub project in partnership with AdaniConneX and Nxtra by Airtel. Google had termed the project its “largest investment in India’s digital future to date.” The initiative includes India’s first gigawatt-scale AI hub spread across three data centre campuses and will also feature a 1 GW hyperscale AI data centre.
The Andhra Pradesh government has allocated nearly 600 acres of land in Turluvada, Rambilli and Adavivaram for the ambitious AI infrastructure project. Speaking at the groundbreaking ceremony on April 28, Vaishnaw had said India is well positioned to become a trusted global partner in electronics manufacturing and supply chains, supported by strong policy initiatives and expanding technological capabilities.
The minister also urged global technology companies, including Google, to scale up local production of servers, graphics processing units (GPUs) and semiconductor chips in India, underlining the government’s push to strengthen domestic electronics manufacturing.