This article first appeared on GuruFocus.
Alphabet (GOOGL, Financials) is drawing significant interest from India’s Adani Group as Google builds a large AI data-center campus in the state of Andhra Pradesh. A senior Adani executive said Friday the conglomerate may invest as much as $5 billion in the project as companies rush to supply the computing power needed for rapidly expanding AI workloads.
Google announced in October that it will spend $15 billion over five years on the facility, marking its biggest commitment to India. The project is designed to support the massive clusters of advanced chips required to train and run artificial intelligence models.
Adani Connex, a joint venture between Adani Enterprises and data-center operator EdgeConneX, is positioned as a potential major contributor to the build-out. The group’s CFO said several companies beyond Google have approached Adani about partnering as India’s data-center capacity scales to gigawatt levels.
Google is already on track to invest roughly $85 billion this year to expand global data-center infrastructure as technology firms compete to meet soaring demand for AI services. India’s largest business groups, including those led by Gautam Adani and Mukesh Ambani, have also ramped up spending to prepare for the next wave of digital adoption.
