Indian Leader Suggests Visakhapatnam as Ideal Location for Google’s Next Chip Center

At the World Economic Forum (WEF) in Davos, Switzerland, on January 22, 2025, N. Chandrababu Naidu, the Chief Minister of Andhra Pradesh, presented a bold proposal to Google. He urged the tech giant to consider Visakhapatnam, a port city in southern India, as the site for its next chip design and manufacturing facility. This strategic move aims to position Visakhapatnam as a crucial part of Google’s future technology ecosystem, potentially driving the company’s server and cloud operations in the region.

Naidu, known for his technological foresight, engaged in detailed discussions with Thomas Kurian, the CEO of Google Cloud, and other executives at the forum. During these talks, he encouraged Google to explore Visakhapatnam’s potential, not only as a chip manufacturing center but also as a vital player in the expanding global cloud infrastructure sector. In his conversations, Naidu highlighted how the city’s location, talented workforce, and growing infrastructure make it an ideal candidate for such high-tech investments.

The proposal ties into a larger vision for Andhra Pradesh, which is aiming to become a key player in the tech industry. Recently, Google Cloud signed a memorandum of understanding (MoU) with the state government to establish a “Data City” in Visakhapatnam. This collaboration reflects the tech giant’s growing presence in India and aligns with Naidu’s ambitious plan to generate two million jobs within five years, with tech companies like Google taking the lead.

Further reinforcing his pitch, Naidu assured Google executives of full state government support for these projects, signaling a commitment to creating a business-friendly environment. The Chief Minister’s vision goes beyond just chip manufacturing; he envisions transforming Visakhapatnam into a tech hub with global significance, much like Hyderabad has become over the past few decades.

Naidu’s leadership during the early days of India’s IT boom in the 1990s, which helped establish Hyderabad as a tech powerhouse, serves as a precursor to his current efforts. In fact, his push for AI-driven tech growth in Visakhapatnam in 2025 mirrors the same ambition that once put Hyderabad on the global map.

For Google, the idea of expanding its chip design and manufacturing capacity is not new. The company has been progressively ramping up its investments in hardware to better support its cloud services and data center operations. Setting up such a facility in Visakhapatnam could integrate seamlessly with its existing infrastructure, leveraging the city’s strategic port access and growing technological ecosystem.

As Naidu continues to push for Visakhapatnam’s transformation, the city is fast becoming a critical part of Andhra Pradesh’s broader vision to attract high-tech investment. Google’s involvement could lead to advancements in both hardware and cloud computing, creating a ripple effect that benefits other tech sectors.

By engaging in discussions with industry giants like Google and Microsoft’s Bill Gates at Davos, Naidu is positioning Andhra Pradesh as a state where technology and innovation intersect. His proposal highlights the untapped potential of southern India as a thriving hub for cutting-edge technology, making it a destination of choice for global firms seeking to expand their footprint in Asia.

This ambitious project, if realized, could mark the beginning of a new era for Visakhapatnam, with far-reaching implications for both the local economy and global tech infrastructure.