Illustration for: Digital Connexion to Invest USD 11 Billion in Andhra Pradesh AI Data Centres
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Digital Connexion to Invest USD 11 Billion in Andhra Pradesh AI Data Centres

3 min read

Digital Connexion has pledged a staggering $11 billion to build AI‑focused data centres in Andhra Pradesh, a move that could reshape the region’s tech infrastructure. The announcement arrives as India pushes toward its Viksit Bharat 2047 vision, a roadmap that emphasizes high‑speed connectivity and home‑grown AI capabilities. While the headline numbers grab attention, the real question is how these facilities will be wired to handle tomorrow’s workloads.

The company says the sites will be equipped with robust power supplies and densely packed racks, aiming to accommodate a surge in digital demand. But investors and policymakers will be watching closely to see whether the promised capacity translates into measurable growth for local businesses and startups. In a market where data‑center saturation is a growing concern, the scale of this project signals confidence in Andhra Pradesh’s strategic importance.

Below, Digital Connexion outlines the technical specs it believes will make the centres ready for the next wave of digital expansion.

According to the company, the centres will feature "future-ready systems," strong power infrastructure, and high-density racks to support the next wave of digital growth. Digital Connexion said the expansion aligns with India's Viksit Bharat 2047 vision and aims to strengthen the country's digital foundation. The company emphasised that the upcoming sites will use renewable energy, efficient building designs, and advanced cooling to reduce environmental impact.

The firm currently operates a campus in Chennai and is building another in Mumbai's Chandivali area, both located to offer low-latency and carrier-neutral connectivity. The release stated that for Digital Connexion Andhra Pradesh investment marks a significant step toward becoming "India's trusted digital infrastructure provider" as demand for AI-ready data capacity accelerates. Previously this year, the government of Andhra Pradesh has signed an MoU with US-based Tillman Global Holdings to develop a ₹15,000-crore, 300 MW hyperscale data centre campus in Visakhapatnam, positioning the state as a key digital infrastructure hub in India and the Indo-Pacific region.

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Will the $11 billion outlay translate into measurable capacity gains? Digital Connexion says its 1‑gigawatt AI‑native data centre complex will sit on 400 acres in Visakhapatnam, built under an MoU with the Andhra Pradesh economic development board. The company promises “future‑ready systems,” strong power infrastructure and high‑density racks designed for high‑performance computing and AI workloads.

If the plan proceeds on schedule, the investment should align with India’s Viksit Bharat 2047 vision and bolster the country’s digital footprint. Yet details on financing, timeline adherence and actual power availability remain unclear. The announcement cites a next wave of digital growth, but no concrete metrics on expected traffic or client uptake have been disclosed.

Moreover, the statement that the centres will support “future‑ready” workloads leaves open how quickly technology upgrades can be integrated. In short, the proposal outlines an ambitious infrastructure push, though its practical impact will depend on execution and broader market response. Stakeholders will likely monitor progress as the project unfolds.

Further Reading

Common Questions Answered

How much is Digital Connexion investing in AI‑focused data centres in Andhra Pradesh?

Digital Connexion has pledged a total of $11 billion to build AI‑focused data centres in the state. This massive outlay is intended to create a 1‑gigawatt AI‑native complex spanning 400 acres in Visakhapatnam.

What are the key infrastructure features of the planned data centre complex?

The company says the facilities will include future‑ready systems, strong power infrastructure, and high‑density racks designed for high‑performance computing and AI workloads. Additionally, renewable energy sources, efficient building designs, and advanced cooling systems will be used to minimize environmental impact.

How does the investment align with India's Viksit Bharat 2047 vision?

The $11 billion project is positioned as a strategic component of the Viksit Bharat 2047 roadmap, which emphasizes high‑speed connectivity and home‑grown AI capabilities. By bolstering the region’s digital foundation, the data centres aim to support the country's long‑term technological growth goals.

Where will the new AI data centres be located and under what agreement?

The data centre complex will be built on a 400‑acre site in Visakhapatnam, Andhra Pradesh. Construction will proceed under a Memorandum of Understanding (MoU) with the Andhra Pradesh Economic Development Board, ensuring state support for the project.