Bengaluru: The Janata Dal (Secular) on Wednesday accused the Congress government in Karnataka of creating an unfavourable business climate that allegedly led to Google choosing Andhra Pradesh over Bengaluru for its biggest investment in India — a $15 billion artificial intelligence hub to be built in Visakhapatnam.

The tech giant’s CEO Sundar Pichai informed Prime Minister Narendra Modi on Tuesday about Google’s plan to invest over the next five years, calling it the company’s largest-ever India initiative.

JD(S) blames Congress ministers for “missed opportunity”

In a sharp statement posted on social media, the JD(S) claimed that Bengaluru — long regarded as India’s Silicon City — had been overlooked due to the Congress government’s administrative failures.

“The state lost the Google AI hub to Andhra Pradesh. After the @INCKarnataka government came to power, it has cast a shadow over Bengaluru, the Silicon City. The potholes in Bengaluru and the negligence of IT Minister @PriyankKharge led to the loss of a ₹1.3 lakh crore investment plan, a major blow to Karnataka,” the JD(S) said.

The party added that had the project been established in Karnataka, it could have generated around 30,000 jobs and annual revenues of ₹10,000 crore.

JD(S) leaders also blamed Deputy Chief Minister D.K. Shivakumar, who holds the Urban Development portfolio, and IT & BT Minister Priyank Kharge for failing to maintain infrastructure and investor confidence in Bengaluru.

“Potholes and garbage cost Bengaluru its pride”

Criticising the government’s management of the city, the JD(S) alleged that poor infrastructure, traffic congestion, and civic neglect had deterred major investors.

“Amidst issues like potholes, garbage, and basic infrastructure problems in the Garden City, this global mega-investment has gone to a neighbouring state. Instead of creating a business-friendly environment, Bengaluru Urban Development Minister @DKShivakumar and ineffective IT-BT Minister Priyank Kharge are to blame for the loss of the Google AI hub due to their government’s negligence,” the party’s statement read.

Google’s $15 billion AI investment

On Tuesday, Google signed an agreement with the Andhra Pradesh government to establish its AI Data Centre and research hub in Visakhapatnam. Through this initiative, the company aims to expand AI-driven innovation and accessibility across India.

According to CEO Sundar Pichai, the facility will bring Google’s advanced AI infrastructure to Indian enterprises, enabling large-scale innovation across sectors such as healthcare, education, manufacturing, and finance.

Prime Minister Narendra Modi described the project as a “powerful force in democratising technology”, while Andhra Pradesh Chief Minister N. Chandrababu Naidu hailed it as the biggest technology milestone for both his state and India.

“AI is key to addressing some of our most pressing challenges — from agriculture and manufacturing to healthcare and finance. It will transform critical sectors, bring far-reaching benefits to our people, enhance governance, empower businesses, and improve lives,” Naidu said.

Political reactions and implications

Political analysts say the JD(S)’s criticism reflects growing competition among southern states to attract major technology investments. While Andhra Pradesh has positioned itself as a new AI and tech destination, Bengaluru’s infrastructural issues and urban management challenges continue to draw scrutiny.

The Congress government, however, has not yet responded to the JD(S)’s allegations.