Adani investing $5B in Google's AI data center in India
What's the story
The Adani Group has announced plans to invest up to $5 billion in Google's artificial intelligence (AI) data center project in India. The investment comes as part of a joint venture between Adani Enterprises and EdgeConneX, a private data center operator. The announcement was made by Jugeshinder Singh, the Chief Financial Officer of the Adani Group.
Project details
Google's $15B investment and AI data center requirements
In October, Google had announced a $15 billion investment over five years to set up an AI data center in Andhra Pradesh. This is the tech giant's largest investment in India so far. The need for specialized data centers has increased due to the enormous computing power required by AI, which allows thousands of chips to be linked in clusters.
Investment potential
Adani Connex's potential investment in Google's project
Singh said that the Google project might mean an investment of up to $5 billion for Adani Connex. He also hinted at interest from other parties, saying "there are a lot of parties that would like to work with us, especially when the data center capacity goes to gigawatt and higher."
Industry investment
Google and Indian billionaires' investments in data center capacity
Google has pledged to invest about $85 billion this year to expand its data center capacity. This comes as tech companies are heavily investing in infrastructure to meet the growing demand for AI services. Indian billionaires Gautam Adani and Mukesh Ambani have also announced their plans to invest in building data center capacity.