Andhra Pradesh Aims to Emerge as India’s IT and GCC Hub

Google’s US$15-billion AI data city announcement in Visakhapatnam gives a major boost to the state’s push to become a global tech hub.

The GCC Hub

February 10, 2026 / 2 min read

The state government is adopting a cluster-based model, positioning Visakhapatnam as a dedicated IT, GCC and AI hub to build strong regional innovation ecosystems.

Andhra Pradesh is positioning itself as a major hub for IT and Global Capability Centres (GCCs) in India, with a focus on emerging as the country’s gateway to the East. The state currently operates six seaports, with four new greenfield ports under construction, which are expected to be operational in a couple of years, according to C M Saikanth Varma, CEO of the Andhra Pradesh Economic Development Board (EDB).

Varma made the announcement at an IT, GCC, Coworking, and IT Infrastructure Investment Promotion Roadshow in Hyderabad, which saw the participation of over 100 CEOs and senior industry leaders. The state government is adopting a cluster-based model to build ecosystems in specific regions, with Visakhapatnam being projected as an IT, GCC, and AI cluster.

Visakhapatnam’s advantages include excellent social infrastructure, good air connectivity, and a growing talent pool. The city is expected to benefit from the new international airport, which will be operational in five to six months, and its first metro, which will be launched in a few years. The government believes that Visakhapatnam is ready to become the next IT, GCC, and AI capital of the country.

Google’s announcement of a $15 billion AI data city in Visakhapatnam is a significant boost to the state’s efforts. The project is expected to drive innovation and create new opportunities in the region. Andhra Pradesh’s IT Secretary, Bhaskar Katamneni, highlighted the state’s competitive cost structures, deep talent pool, and infrastructure readiness as key advantages for investors.

The state government is also focusing on initiatives like ‘Kaushalam’ and collaborating with industry leaders to create a favourable business environment. With its strategic location, infrastructure development, and talent pool, Visakhapatnam is emerging as a preferred destination for GCCs and IT companies

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