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Amazon to invest $4B in Chile to launch AWS infrastructure region

Amazon will invest over $4 billion by 2026 to establish an AWS infrastructure region in Chile, introducing three availability zones and local talent development, enhancing cloud services for customers like LATAM Airlines and Agrosuper amid growing demand in Latin America.

Key points

  • Amazon announced a $4 billion investment in AWS infrastructure in Chile by 2026.
  • The investment will create three availability zones, enhancing data center accessibility.
  • Local talent will be hired to support operations in Chile.
  • The new AWS region aims to meet increasing cloud service demand in Latin America.
  • AWS technologies, including AI and machine learning, will be accessible to organizations for growth.
  • Amazon previously invested with AWS Outposts and AWS Local Zones in Chile.

Why it matters

  • Amazon's investment reflects a growing trend of major cloud providers expanding infrastructure in Latin America.
  • Cloud service demand is increasing, paralleling digital transformation trends seen globally leading to increased competition among cloud providers.
  • AWS's move follows similar expansions by Google Cloud and Microsoft Azure in the region.

Amazon's significant investment in AWS infrastructure in Chile is a strategic move to bolster its cloud services amid rising demand in Latin America, positioning itself competitively against other tech giants.