Ecobox to Build ₹1,008 Crore Park for Google's Vizag AI Hub

TECHNOLOGY
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AuthorIshaan Verma|Published at:
Ecobox to Build ₹1,008 Crore Park for Google's Vizag AI Hub

Ecobox Industrial Asset IV will invest ₹1,008 crore to develop a 1.95 million square foot logistics and light industrial park near Visakhapatnam. The facility is set to support Google's upcoming India AI Hub and is expected to create 5,000 direct jobs, strengthening the region's digital infrastructure.

Tech giant Google is expanding its digital footprint in Andhra Pradesh by supporting a new logistics and light industrial park project in Visakhapatnam. Ecobox Industrial Asset IV Pvt Ltd, a subsidiary of the warehousing firm Logicap and backed by Hillhouse Investment, has committed an investment of ₹1,008 crore to the development. This facility is specifically designed to provide the necessary warehousing and infrastructure support for the Google India AI Hub announced earlier this year.

Project Scale and Land Allocation

The Andhra Pradesh government has allotted 91.38 acres of land for this project, which will feature approximately 1.95 million square feet of built-up space. The facility is planned as a diversified industrial zone, housing three major warehouse blocks, a dedicated area for data centre operations, light manufacturing units, and administrative buildings. By creating a physical ecosystem for cloud and AI infrastructure, the project aims to integrate logistics, networking, and hardware maintenance directly with Google’s core AI operations in the state.

Strategic Importance for the AI Hub

Google has named Ecobox as its preferred partner for logistics and warehousing services related to this AI Hub. Under the agreement, Google holds a right of first refusal to acquire the completed facilities, ensuring it maintains control over essential infrastructure. If the company chooses not to use the entire space, Ecobox is authorized to lease the remaining capacity to other technology and industrial tenants. This arrangement allows for the creation of a broader digital cluster in Visakhapatnam, which the state government is promoting due to its existing advantages, such as international submarine cable connectivity and access to power supplies.

Investor Context and Outlook

For investors, this development highlights the growing role of specialized logistics and industrial infrastructure companies in supporting large-scale data centre investments. As AI infrastructure requires not just computing hardware but also massive logistical, storage, and networking support, the success of such projects depends heavily on execution timelines and occupancy rates. The project is estimated to create 5,000 jobs, which could serve as a metric for the state government’s success in attracting high-tech employment to the region.

The key monitorable for the next phase of this project will be the construction timeline and the pace at which the facility is integrated into the operational requirements of the Google India AI Hub. Investors may also track whether Ecobox or other entities in the logistics sector can secure additional high-value tenants to fill any capacity not utilized by Google, as this would impact the long-term revenue potential of such industrial assets.

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