Cognizant Drives Vizag's AI Boom with New 8,000-Job Campus

In a significant boost to Visakhapatnam's burgeoning technology sector, global IT leader Cognizant has announced plans to establish a new, state-of-the-art campus, a move projected to create over 8,000 jobs. The company is investing ₹1,583 crore (approximately US$182.8 million) into the development, which will be situated on a 22-acre site in Kapuluppada, within the city's designated IT Hills.[1][2][3] This major expansion underscores Cognizant's strategic focus on diversifying its presence in India beyond traditional metropolitan hubs and signals strong confidence in the potential of tier-2 cities like Visakhapatnam as the next frontier for tech talent and innovation.[3][4] The development is a cornerstone of the Andhra Pradesh government's vision to establish the state as a premier destination for global enterprises and to cultivate a robust digital economy.[1][2]

The project will be executed in three distinct phases, reflecting a long-term commitment to the region.[1][2] While the first phase of the permanent campus is slated for completion by early 2029, Cognizant plans to commence operations much sooner.[1][2] The company will launch from a temporary facility in early 2026, which will have an initial capacity for 800 employees.[1][2] This phased approach allows Cognizant to begin tapping into the local talent pool and integrating into the regional ecosystem while the larger, permanent infrastructure is being constructed.[2] The campus itself is envisioned to be a world-class facility, designed to support advanced capabilities in artificial intelligence (AI) and digital transformation, areas central to Cognizant's global service delivery.[1][3] The investment is entirely self-funded, a detail that officials say highlights the company's robust financial standing and unwavering commitment to its expansion in Andhra Pradesh.[5][6][7]

This development is a pivotal moment for Visakhapatnam and its aspirations to become a major IT and Global Capability Center (GCC) hub.[8] The Andhra Pradesh government has played a crucial role in securing this investment, offering significant incentives to attract the tech giant.[4] Following approval from the State Cabinet led by Chief Minister N. Chandrababu Naidu, the government allocated the 21.31-acre plot to Cognizant for a nominal lease rate, a policy designed to attract anchor investors who can create a ripple effect in the local economy.[9][8][10][11] This strategy mirrors successful efforts in other regions where initial, large-scale investments have catalyzed the development of an entire industrial ecosystem.[11] The move by Cognizant follows a similar investment by Tata Consultancy Services (TCS), which was also allotted land in the area to establish a large campus, collectively promising to bring nearly 20,000 direct IT jobs to the city.[12][11] The presence of these two IT titans, along with reported interest from other major players like Infosys and Google for a data center, is set to fundamentally reshape the city's economic landscape, which has historically relied more on business process management (BPM) units for its IT revenue.[12][13]

The implications of Cognizant's new campus extend beyond immediate job creation, positioning the region as a critical node in India's expanding AI and digital services network. The focus on creating roles that support AI and digital transformation delivery is particularly noteworthy.[1][3] As the global demand for AI expertise continues to surge, this facility will be instrumental in developing a skilled workforce capable of meeting these advanced technological needs. Cognizant CEO Ravi Kumar S emphasized that Visakhapatnam's abundant talent pool and robust infrastructure make it an ideal partner for the company's mission to cultivate the digital workforce of tomorrow, particularly in India's tier-2 cities.[1][3] This aligns with the company's broader India strategy, which includes recent expansions in other emerging tech hubs like Bhubaneswar and Indore, and the establishment of an immersive learning center in Chennai aimed at training thousands in advanced AI technologies.[1][3][14] For the local workforce, this means the advent of high-value career opportunities and a critical boost in the technology skills needed for the future.[2]

In conclusion, Cognizant's ₹1,583 crore investment in a new Visakhapatnam campus represents a landmark development with far-reaching consequences. It is a testament to the city's growing appeal as a strategic IT destination and a significant victory for the Andhra Pradesh government's proactive industrial policy.[1][10] The creation of 8,000 jobs, with a special emphasis on AI and digital services, will not only fuel economic growth but also establish a foundation for a sophisticated, future-ready technology ecosystem in the region.[1][3] As the phased construction gets underway and operations begin, this project will be a closely watched model for tier-2 city development, illustrating how strategic partnerships between industry and government can unlock immense potential, foster innovation, and create a more geographically balanced technology landscape across India.[4]