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Amazon to invest another $21B in Spain with focus on data centers - SiliconANGLE
Amazon to invest another $21B in Spain with focus on data centers Amazon.com Inc. today announced plans to spend €18 billion, or $21.05 billion, in Spain to expand its data center capacity and server supply chain. The sum comes on top of a €15.7 billion investment the company detailed in late 2024. Amazon's data center construction plan centers on the Spanish region of Aragón, where it already operates cloud infrastructure. The company plans to "build data centers in the province of Teruel, in addition to new facilities in Huesca and Zaragoza." That means Amazon Web Services Inc. will have servers in all three of Aragón's provinces once construction is complete. AWS usually builds its data centers in clusters of 3 or more. The facilities in a cluster are supported by separate power and networking systems, which means that a failure at one site has a low chance of impacting the others. The data centers tend to be relatively close to one another, which enables them to exchange packets them with low latency. Amazon stated that some of its data centers' capacity will be dedicated to artificial intelligence infrastructure. AWS' existing cloud regions offer access to dozens of instance varieties powered by Nvidia Corp. graphics cards and internally-developed AWS Trainium accelerators. Amazon estimates that its investments in Spain will create about 29,900 direct, indirect and induced full-time equivalent jobs. Indirect positions are hires made by a company's business partners, while induced roles are created in the broader economy. Amazon says that 6,700 of the openings will be created across its data center operations and the suppliers tasked with building the facilities. In parallel, the company will build a trio of supply chain facilities designed to support AWS. There will be a server manufacturing plant and a logistics hub described as a manufacturing fulfillment warehouse. The third facility will be dedicated to producing and repairing AI servers. In December, AWS debuted an AI server called the Trn3 UltraServer that can host up to 144 of its latest AWS Trainium3 chips. Each accelerator provides up to 2.52 petaflops of performance when processing FP8 data. AWS says that Trainium3 is 4 times more power-efficient than its previous AI chip. Each Trn3 UltraServer pairs its 144 chips with a networking system called NeuronSwitch-v1. It acts as an all-to-all fabric, which means that the chips inside the system can exchange data directly without going through multiple intermediaries. That direct access improves network performance. "We're supporting Europe's digital capabilities and expanding cloud and AI infrastructure that businesses and organizations are already using to grow and innovate," said Amazon chief global affairs and legal officer David Zapolsky.
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Amazon's $21B Spain Bet Ignites Europe's AI Infrastructure Race
Amazon has announced an additional $21 billion (about €18 billion) investment in Spain to scale up its data-centre footprint. This move will also strengthen the artificial intelligence infrastructure, in one of the largest cloud commitments in Europe. The new investment will mainly enhance operations through facility expansions. It involves creating multiple new facilities in the Aragón region, which will strengthen Spain's role as a major digital access point for southern European markets. The move takes in the country to nearly €33.7 billion. The company stated that its new infrastructure will meet the rising demand for cloud computing, the requirements of increasing workload by generative AI, and the ever-increasing needs of high-performance data processing across the entire region.
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Amazon announced a $21 billion investment in Spain to expand its data center capacity and AI infrastructure, primarily in the Aragón region. This brings the company's total commitment to nearly €33.7 billion, making it one of Europe's largest cloud infrastructure investments. The expansion will create approximately 29,900 jobs and includes new server manufacturing facilities.
Amazon has unveiled plans to invest an additional €18 billion, equivalent to $21.05 billion, in Spain to expand data center capacity and strengthen its server supply chain
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. This substantial commitment comes on top of a €15.7 billion investment the company announced in late 2024, bringing the total Amazon investment Spain to nearly €33.7 billion2
. The move represents one of the largest cloud infrastructure commitments in Europe and positions Spain as a critical digital gateway for southern European markets.
Source: Analytics Insight
The company's infrastructure buildout focuses heavily on the Aragón region, where Amazon Web Services (AWS) already operates cloud infrastructure. Amazon plans to build data centers in the province of Teruel, alongside new facilities in Huesca and Zaragoza, ensuring AWS will have servers in all three of Aragón's provinces once construction is complete
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. AWS typically builds its data centers in clusters of three or more facilities, each supported by separate power and networking systems to minimize the risk of cascading failures. The proximity of these facilities enables low-latency packet exchange, a critical factor for performance-sensitive applications.
Source: SiliconANGLE
A significant portion of the new data center capacity will be dedicated to AI infrastructure, addressing the growing demand for cloud computing and generative AI workloads across the region
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. AWS's existing cloud regions already provide access to dozens of instance varieties powered by Nvidia graphics cards and internally-developed AWS Trainium accelerators1
. In parallel with the data center construction, Amazon will build three server supply chain facilities to support AWS operations. These include a server manufacturing plant, a logistics hub functioning as a manufacturing fulfillment warehouse, and a dedicated facility for producing and repairing AI servers1
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The infrastructure expansion will leverage Amazon's latest AI hardware innovations. In December, AWS introduced the Trn3 UltraServer, an AI server capable of hosting up to 144 of its latest AWS Trainium3 chips. Each accelerator delivers up to 2.52 petaflops of performance when processing FP8 data, with AWS claiming that Trainium3 is four times more power-efficient than its previous AI chip
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. Each Trn3 UltraServer pairs its 144 chips with a networking system called NeuronSwitch-v1, which functions as an all-to-all fabric allowing chips to exchange data directly without multiple intermediaries, significantly improving network performance.Amazon estimates that its investments will create approximately 29,900 direct, indirect, and induced full-time equivalent jobs in Spain. Of these positions, 6,700 will be created across data center operations and among the suppliers building the facilities
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. Indirect positions refer to hires made by Amazon's business partners, while induced roles emerge in the broader economy. "We're supporting Europe's digital capabilities and expanding cloud and AI infrastructure that businesses and organizations are already using to grow and innovate," said Amazon chief global affairs and legal officer David Zapolsky1
. The investment signals Amazon's intent to compete aggressively in Europe's AI infrastructure race, meeting the requirements of increasing workload demands from generative AI and high-performance data processing across southern Europe2
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