Sundar Pichai-led Google rents new office in Bengaluru for Rs 4 crore per month, says Report

Sundar Pichai-led tech giant Google has reportedly rented a new office space in Alembic City, Whitefield, Bengaluru.

According to an ET report, The company has leased 649,000 square feet of office space at a monthly rental rate of Rs 62 per square foot, totalling a monthly rent of Rs 4,02,38,000.

The lease agreement includes a lock-in period of three years, the report said.

Google's broader strategy

The report comes more than a month after Google reportedly laid off employees in its US offices, a move intended to cut costs by hiring more cost-effective labour outside the United States. 

Google's CFO, Ruth Porat, in an email to employees, mentioned ongoing broader restructuring efforts, highlighting an increased focus on Bangalore, Mexico City, and Dublin.

Porat also mentioned plans to create "hubs" for more centralized operations in these cities, as well as in Chicago and Atlanta, while maintaining a significant presence in the San Francisco Bay Area, CNBC reported.

What other office spaces does Google have in India?

In addition to the new Bengaluru office, Google renewed its lease in 2022 for 600,000 square feet of office space in Hyderabad under its subsidiary, Google Connect Services India Pvt. Ltd.

The company has also agreed to lease 1.3 million square feet of office space from Bagmane Developers in Bengaluru.

Since 2020, Google’s office space portfolio in India has expanded by 3.5 million square feet. Currently, The tech giant operates in five cities across India, with a total real estate footprint of 9.3 million square feet.

What are Google's manufacturing plans in India?

Google's expansion in India is not limited to office spaces. The company is also making significant moves in manufacturing. The company plans to manufacture smartphones at a Foxconn facility in Tamil Nadu, with production expected to begin with the Pixel 8 model.

"India is a priority market for Pixel smartphones, and we are committed to delivering the best of our hardware and software capabilities to users here," Google stated in a recent blog post.

Additionally, the company aims to start drone manufacturing in the state. These initiatives were initially announced during the Google for India conference last year and reflect a broader strategy to enhance local production capabilities.