India, Oct. 14 -- Alphabet Inc.'s Google will invest $10 billion to set up a massive data centre and artificial intelligence hub in Andhra Pradesh, officials from the southern Indian state said, marking its biggest such investment in the South Asian nation.

Google will build a 1 GW data centre campus in Visakhapatnam, combining AI infrastructure, large-scale energy sources, and expanded fibre-optic network, according to a statement from the state government. It will be the "largest AI hub outside of the US", Google Cloud's Chief Executive Officer Thomas Kurien said.

A formal agreement is expected to be signed on Tuesday.

The move comes amid intensifying competition among big tech companies, which are spending heavily on building new da...