Google Pours Another $24 Billion Into AI. This Country Is the Major Beneficiary.

Oct 14, 2025 08:23:00 -0400 by Adam Clark | #AI

Alphabet CEO Sundar Pichai announced the investment after speaking to India’s Prime Minister Narendra Modi. (KIMIHIRO HOSHINO/AFP via Getty Images)

Key Points

Google is investing an additional $24 billion in AI infrastructure, including $15 billion over five years in India.
The India investment will establish an AI hub in Visakhapatnam with a gigawatt-scale data center and subsea cable gateway.
This new commitment follows a $9 billion investment in South Carolina for AI infrastructure through 2027.

Alphabet’s Google is spending another $24 billion on artificial-intelligence infrastructure projects.

The search giant is making its biggest investment in India so far. Google said Tuesday that it would invest approximately $15 billion in India over the next five years. The company plans to establish its first AI hub in India, which will feature a data center campus with gigawatt-scale computing capacity.

The hub will be based in the city of Visakhapatnam in the Indian state of Andhra Pradesh. State minister Nara Lokesh, said the one-gigawatt project represented $10 billion of investment, while Google will also fund the construction of a gateway for subsea cables to land at the city and expand its energy infrastructure in India.

The Indian investment came on top of a $9 billion commitment to expand Google’s AI infrastructure in South Carolina through 2027, announced Monday. That brings the total to $24 billion over the past two days.

The figures are impressive but represent a fairly small commitment on an annual basis as part of Alphabet’s total capital expenditure. The company’s capex is expected to come to $82.2 billion this year, up from $52.5 billion in 2024, according to FactSet estimates.

Over the past four quarters, Alphabet, Amazon, Meta Platforms, and other tech companies that operate global networks of data centers—so-called hyperscalers—have invested more than $300 billion in AI capital expenditures.

Alphabet shares were down 1.5% in premarket trading on Tuesday.

Write to Adam Clark at adam.clark@barrons.com