Google invests $15 billion in artificial intelligence / Depositphotos
Google reported on Tuesday that it plans to invest $15 billion over the coming five years in order to establish an AI data center in Andhra Pradesh, a state in southern India; this marks the company’s most substantial investment in the world’s most populous nation.
As reported by Delo.ua, Reuters conveys this information.
The fresh facility will possess an initial capacity of 1 gigawatt and is poised to become Google’s “premier artificial intelligence hub” situated outside the territory of the United States.
“This embodies our enduring vision to hasten India’s distinct AI trajectory,” stated Google Cloud CEO Thomas Kurian during an event in New Delhi, which was attended by India’s ministers for IT and finance.
Investment amidst strain
The resolution of Google to commit this noteworthy capital infusion occurs amidst a sensitive period of diplomatic tension between New Delhi and Washington, wherein Prime Minister Narendra Modi advocates for a ban on international products following the US imposition of a 50% tariff on imports from India.
Over recent weeks, Indian representatives have held private discussions with multiple US corporate leaders, articulating their intention to guarantee a propitious business setting, irrespective of discontentment with US tariffs, according to two sources who spoke to Reuters on condition of anonymity.
The Quest for AI Supremacy
According to insights from Reuters, Google perceives India as a pivotal domain for expansion, where its various offerings (YouTube, Android) enjoy widespread adoption. The country holds vital importance considering nearly a billion individuals possess web access.
Google’s funding is integral to a broader global trend: leading technology enterprises are dedicating substantial funds to infrastructure development to address the swift upsurge in demand for AI services, which necessitate formidable computational capabilities.
Microsoft and Amazon already hold a presence within the Indian market, having also channeled billions into the creation of data hubs. For this novel undertaking, Google is set to partner with domestic juggernauts Adani Group and Airtel, encompassing the construction of a novel international submarine gateway.
As a reminder, Google intends to phase out Google Assistant and substitute it with Gemini within a year, except for gadgets operating on older iterations of Android. Gemini is poised to supplant Google Assistant, initially introduced in 2016, following a year characterized by further development and enhancements.