Amazon to Invest $10.5 Billion in UK for Cloud and AI Infrastructure Expansion

Amazon to Invest $10.5 Billion in UK for Cloud, AI Infrastructure

Amazon plans to spend about $10.5 billion over the next five years in cloud and artificial intelligence infrastructure in the UK, as global tech companies boost their data-center footprints amid a boom in demand for artificial-intelligence computing. Amazon Web Services, the U.S. tech giant's cloud-computing arm, said Wednesday that it will make an investment of 8 billion pounds, the equivalent of $10.46 billion, through 2028 to build and operate data centers in the UK to meet rising demand for cloud technology and services. AWS is Amazon's most profitable unit and its second-quarter results showed the segment's net sales grew about 19% from a year earlier to a higher-than-expected $26.28 billion. UK Chancellor of the Exchequer, Rachel Reeves described Amazon's latest investment as "the start of the economic revival and shows Britain is a place to do business." "The next few years could be among the most pivotal for the UK's digital and economic future," given the growing adoption of cloud computing and AI technologies by businesses, Tanuja Randery, Vice President and Managing Director for Europe, Middle East & Africa at AWS said in a statement. Like many top tech companies, Amazon has been ramping up its spending on the data centers, real estate and chips needed to meet the surging demand for computer power that has come with the rise of AI. Amazon's purchases of property and equipment, a measurement of its capital spending, was $17.62 billion in the second quarter. That was over 50% higher than the year-earlier level and the highest quarterly expenditure since 2021. Chief Executive Andy Jassy has reoriented the company to focus on AI innovations and to catch up with Microsoft, Google and others in the space. Since the start of 2024, AWS has earmarked over $50 billion in investments overseas in the coming years, in countries including Germany, Japan, Singapore, Mexico and Saudi Arabia. This year, rival Microsoft also announced billions in investments for its cloud and AI infrastructure in Europe, including in Sweden, Germany and France. AWS first launched an AWS Region, or a cluster of data centres, in the UK in December 2016, it said, and has invested over 3 billion pounds since 2020. Wednesday's announcement will bring AWS's total planned investment in the country to over 11 billion pounds.

AWS Invests $10.5B In UK To Fuel AI Infrastructure Expansion

AWS is injecting $10.5 billion over the next five years into the U.K. to expand its data centers in the region with the goal of enabling AI solutions for British businesses. Amazon Web Services continues to spread its massive cloud infrastructure footprint across the globe by unveiling a $10.5 billion investment in its U.K. data centers with big AI plans in store for the region. The $105 billion Seatle-based cloud computing giant said Wednesday that the new investment is critical to U.K.'s economic future in the AI era. "We're proud to announce our plans to invest £8 billion ($10.5 billion) in digital and AI infrastructure over the next five years to help meet the growing needs of our customers and partners and support the transformation of the U.K.'s digital economy," said AWS' Tanuja Randery, vice president and managing director of Europe, Middle East and Africa (EMEA), in a statement. [Related: AWS CEO 'Bullish' On Homemade Chip Future: 'We Can Optimize Like Crazy'] AWS invests tens of billions of dollars each year to expand its data center footprint to enter new markets or boost capabilities in existing regions. AWS data centers house thousands of servers, storage, networking, data protection and power infrastructure that enable its cloud services and AI solutions. "The next few years could be among the most pivotal for the U.K.'s digital and economic future, as organizations of all sizes across the country increasingly embrace technologies like cloud computing and AI to help them accelerate innovation, increase productivity and compete on the global stage," said Randery. Parent company Amazon employs around 75,000 people in the U.K., which includes data center teams and AWS staff. AWS estimated that its new investment will contribute approximately $18.3 billion to the U.K.'s total GDP between 2024 and 2028. AWS launched its first AWS Region in the U.K. in late 2016. Over the past several years, the company continued to expand its U.K. Region to include three Availability Zones, two WaveLength Zones, two Edge Locations and a Regional Edge Cache. AWS has invested around $4 billion in the U.K. since 2020, making its total investment in the region now more than $14.5 billion in the past four years. British Chancellor of the Exchequer Rachel Reeves, who is the government's chief financial minister, said in a statement that the $10.5 billion investment from AWS "marks the start of the economic revival and shows Britain is a place to do business." Some of the company's largest customers in Britain includes AstraZeneca, Cancer Research UK, Deliveroo, easyJet, Genomics England, Monzo, NatWest Group, UK Biobank and Zilch. For the company's most recent second-quarter 2024 financial earnings, AWS generated $26.3 billion in sales. This 19 percent year-over-year sales increase boosted AWS' annual run rate to a record $105.2 billion. AWS' operating income during the second quarter was $9.3 billion. AWS is the world's largest cloud company, owning 32 percent share of the cloud infrastructure services market, followed by Microsoft at 23 percent share and Google Cloud at 12 percent share.

Amazon makes £8 billion UK investment to build cloud and AI infrastructure

LONDON -- Amazon Web Services (AWS), the U.S. e-commerce giant's cloud division, announced plans to invest £8 billion ($10.45 billion) over the next five years to build and operate data centers in the U.K. as it ramps up its cloud computing efforts in the country. The investment, announced early Wednesday London time, comes as cloud players talk up the benefits of generative artificial intelligence (AI) and as companies look to integrate the tech into their businesses. "We've seen a real uptake of cloud computing and AI technology by British businesses, and we know the U.K. has a very ambitious digital plan," Tanuja Randery, managing director for European, Middle East and Africa at AWS, told CNBC in an interview. "So this will go toward helping our customers to really be able to harness cloud computing, because you need the data centers to be able to actually provide cloud computing for our customers."

Amazon To Build Data Centers In UK With $10.45 Billion Investment

Amazon Web Services, the cloud computing arm of e-commerce giant Amazon, announced plans to build and operate data centers in the U.K. with a $10.45 billion investment over a period of five years. CNBC reported that cloud players have been talking about the benefits of artificial intelligence (AI), as several companies consider integrating AI into their business infrastructures, ushering in ripe ground for the investment. "We've seen a real uptake of cloud computing and AI technology by British businesses, and we know the U.K. has a very ambitious digital plan," Tanuja Randery, a managing director at AWS, was quoted as saying by CNBC. "So this will go toward helping our customers to really be able to harness cloud computing, because you need the data centers to be able to actually provide cloud computing for our customers," Randery added. Amazon expects that its investment in the U.K. will contribute approximately 14 billion pounds to the country's gross domestic product by the end of 2028. Additionally, it is expected to support over 14,000 jobs across various businesses in the region. "Our team that builds our data centers globally take into account multiple levers that they have to look at before they can decide where to put data centres ... from power to water to the local environment," Randery told Reuters. British finance minister Rachel Reeves, who has actively been courting foreign investors ahead of the Oct. 14 investment summit, welcomed the AWS investment. According to the British government, the AWS data centers would support the demand in London as well as areas in the west. However, the exact location of the data centers was disclosed by Amazon due to security reasons. Britain's finance ministry said that the government is "also actively engaged in conversations with the company about investments in other parts of the UK." AWS is competing with Google and Microsoft in the United Kingdom, and this billion-dollar investment is a part of its ongoing efforts to expand in Europe. Aside from the U.K., AWS has revealed plans to invest 8.8 billion euros in Germany's existing cloud infrastructure.

Amazon Web Services to Spend $10.5 Billion in U.K.

Amazon Web Services said Wednesday that it will spend about $10.5 billion over the next five years to expand its cloud infrastructure in the United Kingdom, the latest in a series of international spending commitments by the cloud giant. AWS said in a statement that the investments would grow the company's "digital and AI infrastructure" in the U.K. In total, Amazon has announced plans to

Amazon to invest $10 billion in UK data centres

Internet giant Amazon's cloud computing arm, Amazon Web Services, said on Wednesday that it plans to spend 8 billion pounds ($10.45 billion) in the United Kingdom over the next five years to build, operate and maintain data centres. The company expects the investment project to contribute 14 billion pounds to the country's gross domestic product by the end of 2028 and to support more than 14,000 jobs at British businesses. The project represents a step-up in the pace of Amazon's investment in Britain. Since 2022 AWS has invested 3 billion pounds in facilities in London and Manchester. "Our team that builds our data centres globally take into account multiple levers that they have to look at before they can decide where to put data centres ... from power to water to the local environment," Tanuja Randery, a managing director at AWS, told Reuters. She singled out use of artificial intelligence as among the factors driving demand for cloud services. AWS has been investing heavily across Europe, announcing a 15.7 billion euros investment in Spain earlier this year and another 7.8 billion euros in Germany. Analysts and executives say many big corporate customers have started spending again on cloud computing after pausing last year, as interest in artificial intelligence drives a rebound of growth in the $270 billion cloud infrastructure market. The investment was welcomed by British finance minister Rachel Reeves, who has been courting foreign investors ahead of an investment summit on Oct. 14.

Amazon to invest $10 billion in UK data centres

(Reuters) - Internet giant Amazon's cloud computing arm, Amazon Web Services, said on Wednesday that it plans to spend 8 billion pounds ($10.45 billion) in the United Kingdom over the next five years to build, operate and maintain data centres. The company expects the investment project to contribute 14 billion pounds to the country's gross domestic product by the end of 2028 and to support more than 14,000 jobs at British businesses. The project represents a step-up in the pace of Amazon's investment in Britain. Since 2022 AWS has invested 3 billion pounds in facilities in London and Manchester. "Our team that builds our data centres globally take into account multiple levers that they have to look at before they can decide where to put data centres ... from power to water to the local environment," Tanuja Randery, a managing director at AWS, told Reuters. She singled out use of artificial intelligence as among the factors driving demand for cloud services. AWS has been investing heavily across Europe, announcing a 15.7 billion euros investment in Spain earlier this year and another 7.8 billion euros in Germany. Analysts and executives say many big corporate customers have started spending again on cloud computing after pausing last year, as interest in artificial intelligence drives a rebound of growth in the $270 billion cloud infrastructure market. The investment was welcomed by British finance minister Rachel Reeves, who has been courting foreign investors ahead of an investment summit on Oct. 14. Britain's government said the data centres would be located to support demand in London and areas to the west, but that Amazon would not disclose the exact locations for security reasons. "The government is also actively engaged in conversations with the company about investments in other parts of the UK," the finance ministry said. (Reporting by Supantha Mukherjee in Stockholm; additional reporting by David Milliken in London, Editing by William Maclean)

Amazon To Invest $10.5B in UK Over Next 5 Years in Cloud, AI Push

Amazon Web Services (AWS), a key driver of the tech giant's growth, will contribute 14 billion pounds to the country's GDP in that span and support around 14,000 jobs annually, Amazon said. Amazon (AMZN) said it plans to spend 8 billion pounds ($10.5 billion) to build and operate data centers in the U.K. over the next five years through 2028, in a massive expansion of its cloud and artificial intelligence (AI) infrastructure. Amazon Web Services (AWS), a key driver of the tech giant's growth, will contribute 14 billion pounds to the country's GDP in that span and support around 14,000 jobs annually, Amazon said. AWS reported last month that second-quarter revenue jumped 19% year-over-year and analysts have said that gains could continue this year on strong demand for cloud storage and AI. Amazon isn't alone among the big tech firms ramping up AI-related spending. Goldman Sachs analysts have projected that big tech companies, including Amazon and Microsoft (MSFT), are set to collectively spend over $1 trillion on AI over the next five years to meet burgeoning demand. Amazon shares were little changed in early trading Wednesday and have gained about 17% since the start of the year.

Amazon Web Services to invest £8B in the UK to boost data centers (NASDAQ:AMZN)

Amazon (NASDAQ:AMZN) Web Services unveiled plans to invest £8B in the UK over the next five years as part of a major push to expand data center infrastructure across the country. The majority of the jobs created by this investment will support AWS' data center supply chain. This investment brings AWS' total investment in the UK from 2020-2028 to more than £11B. "The next few years could be among the most pivotal for the UK's digital and economic future, as organizations of all sizes across the country increasingly embrace technologies like cloud computing and AI to help them accelerate innovation, increase productivity, and compete on the global stage," said Tanuja Randery, VP and managing director for EMEA at AWS.

Amazon to invest $10bln in UK data centres

Internet giant Amazon's cloud computing arm, Amazon Web Services, said on Wednesday that it plans to spend 8 billion pounds ($10.45 billion) in the United Kingdom over the next five years to build, operate and maintain data centres. The company expects the investment project to contribute 14 billion pounds to the country's gross domestic product by the end of 2028 and to support more than 14,000 jobs at British businesses. The project represents a step-up in the pace of Amazon's investment in Britain. Since 2022 AWS has invested 3 billion pounds in facilities in London and Manchester. "Our team that builds our data centres globally take into account multiple levers that they have to look at before they can decide where to put data centres ... from power to water to the local environment," Tanuja Randery, a managing director at AWS, told Reuters. She singled out use of artificial intelligence as among the factors driving demand for cloud services. AWS has been investing heavily across Europe, announcing a 15.7 billion euros investment in Spain earlier this year and another 7.8 billion euros in Germany. Analysts and executives say many big corporate customers have started spending again on cloud computing after pausing last year, as interest in artificial intelligence drives a rebound of growth in the $270 billion cloud infrastructure market. The investment was welcomed by British finance minister Rachel Reeves, who has been courting foreign investors ahead of an investment summit on Oct. 14. Britain's government said the data centres would be located to support demand in London and areas to the west, but that Amazon would not disclose the exact locations for security reasons. "The government is also actively engaged in conversations with the company about investments in other parts of the UK," the finance ministry said. ($1 = 0.7656 pounds) (Reporting by Supantha Mukherjee in Stockholm; additional reporting by David Milliken in London, Editing by William Maclean)

AWS is spending £8 billion to boost its UK cloud business

AWS invests billions into data centres around the UK, supporting thousands of jobs Amazon Web Services (AWS) has revealed plans to invest £8 billion into the construction, operation, and maintenance of data centres across the UK over the next five years. The project is expected to contribute £14 billion to UK GDP before 2028, and support more than 14,000 jobs within the data centre supply chain, including construction, engineering, and telecoms. AWS has spent £3 billion in development in the UK since 2020 to meet the growing demand from customers. This has supported an average of 6,000 full time jobs at local business level. The total impact of cloud computing services in the UK accounted for over £42 billion in 2023 - over 1.6% of GDP. Surveys suggest that cloud computing services have saved small businesses money and allowed them to compete with larger companies by giving them access to the same technologies. Tanuja Randery, Vice President and Managing Director, Europe, Middle East & Africa (EMEA) at AWS, said: "The next few years could be among the most pivotal for the UK's digital and economic future, as organisations of all sizes across the country increasingly embrace technologies like cloud computing and AI to help them accelerate innovation, increase productivity, and compete on the global stage." The cloud infrastructure market is dominated by three major firms; AWS, Microsoft, and Google. In 2023, an investigation into the supply of public cloud infrastructure services in the UK indicated that AWS may have engaged in anti-competitive behaviours which could have disadvantaged UK customers and businesses. It's not clear how this new investment will affect the UK market - but the final decision is expected in April 2025.

Amazon to pour £8B into UK datacenters through to 2028

Those kindly philanthropists at Amazon Web Services (AWS) plan to invest £8 billion ($10.4 billion) on datacenters in Britain between now and 2028, a move welcomed by the UK's finance minister who tried to take credit and spin it as part of the country's economic revival. The cloud giant, known throughout the world for its great munificence, said the £8 billion investment in building, operating, and maintaining bit barns is a token of its long-term commitment to supporting growth and productivity across the nation. AWS claims that its efforts will contribute £14 billion ($18.3 billion) to the UK's economy over the same time period through to 2028, and support an average of more than 14,000 jobs via its datacenter supply chain, ranging from construction to facility maintenance, engineering, and telecoms. Tanuja Randery, AWS VP and MD for EMEA, dramatically claimed that the next few years could be pivotal for the UK's digital and economic future as businesses adopt technologies like cloud computing and AI in a bid to grow productivity and compete on the global stage. "We're proud to announce our plans to invest £8 billion in digital and AI infrastructure over the next five years to help meet the growing needs of our customers and partners, and support the transformation of the UK's digital economy," she trilled. Commenting on the news, UK Chancellor of the Exchequer Rachel Reeves said: "This £8 billion investment marks the start of the economic revival and shows Britain is a place to do business," adding that she plans to create jobs, unlock investment, and make every part of Britain better off. Yet it isn't all selfless giving on the part of the cloud giant. As The Register reported last year, AWS expanded its revenues in Britain by 30.1 percent to £3.78 billion ($4.9 billion), and also collected 76 percent more direct public sector revenue from the UK government during the preceding financial year. In December last year, it was also revealed that AWS had scored a contract for cloud hosting services for the UK Home Office worth nearly half a billion pounds (£450,281,369 or about $590 million). At the same time, the company has been criticized for being less than transparent about its tax arrangements, with AWS UK revenues reported as part of Amazon Web Services EMEA SARL. The Guardian newspaper also reported last year that the cloud giant's parent, Amazon, paid no corporation tax for the second year in a row after benefiting from tax credits on its investment in infrastructure. Meanwhile, AWS is one of the global cloud giants under investigation by the UK's competition watchdog to assess whether it engages in anti-competitive practices that may limit customer choice in the cloud market. Despite this, it was revealed in June that the Competition and Markets Authority itself is to double the amount it spends with AWS on cloud services over the next 36 months, even while the investigation is ongoing. Mark Boost, CEO of UK cloud operator Civo and an outspoken critic of the cloud giants, was scathing of the £8 billion investment, saying: "Expensive datacenter infrastructure and AI hardware... are not made and sold by UK companies." "Britain's datacenter innovators deserve a fair chance to play their part in the country's digital future, without a national overreliance on hyperscalers purely because of the scale they can offer," Boost added. ®

Amazon AWS To Invest $11B in UK, Support 14K Jobs Annually - Amazon.com (NASDAQ:AMZN)

U.K. Chancellor Rachel Reeves confirmed an 8 billion pound five-year investment from Amazon.Com Inc AMZN cloud computing unit Amazon Web Services. The investment would support close to 14,000 jobs annually at local businesses, including those across the company's data center supply chain. AWS estimates that these investments in the U.K. will inject 14 billion pounds into the U.K.'s total Gross Domestic Product (GDP) from 2024 to 2028. AWS eyes $10.5 billion (8 billion pounds) spending over the next five years in cloud and artificial intelligence infrastructure in the U.K., the Wall Street Journal reports. "We've seen a real uptake of cloud computing and AI technology by British businesses, and we know the U.K. has a very ambitious digital plan," CNBC cites from an interview with AWS managing director Tanuja Randery. AWS launched its cluster of data centers in the U.K. in December 2016. The latest announcement will bring AWS's total planned investment in the country to over 11 billion pounds. AWS reported 19% topline growth in the second quarter, reaching $26.3 billion. Amazon's capital spending reached $17.62 billion in the second quarter, up 50% as it ramped up spending on data centers, real estate, and chips to accomplish its AI ambitions, similar to those of its Big Tech counterparts. Since 2024, AWS has committed over $50 billion in overseas investments. It committed 7.8 billion euros to the AWS European Sovereign Cloud in Germany through 2040, which has the potential to sustain 2,800 full-time equivalent jobs annually in local German businesses. AWS earmarked $6.2 billion in Malaysia through 2038, which could support over 3,500 jobs annually. JMP Securities analyst Nicholas Jones projected AWS's upside, especially flagging the absence of capacity constraints in Microsoft Corp's MSFT Azure business. Price Action: AMZN stock is up 0.45% to $180.36 premarket at the last check on Wednesday. Photo via Company Market News and Data brought to you by Benzinga APIs

Amazon to invest $10 billion in UK data centres

"Our team that builds our data centres globally take into account multiple levers that they have to look at before they can decide where to put data centres ... from power to water to the local environment," Tanuja Randery, a managing director at AWS, told Reuters. She singled out use of artificial intelligence as among the factors driving demand for cloud services. AWS has been investing heavily across Europe, announcing a 15.7 billion euros investment in Spain earlier this year and another 7.8 billion euros in Germany. Analysts and executives say many big corporate customers have started spending again on cloud computing after pausing last year, as interest in artificial intelligence drives a rebound of growth in the $270 billion cloud infrastructure market. The investment was welcomed by British finance minister Rachel Reeves, who has been courting foreign investors ahead of an investment summit on Oct. 14. Britain's government said the data centres would be located to support demand in London and areas to the west, but that Amazon would not disclose the exact locations for security reasons. "The government is also actively engaged in conversations with the company about investments in other parts of the UK," the finance ministry said. (Reporting by Supantha Mukherjee in Stockholm; additional reporting by David Milliken in London, Editing by William Maclean)

Amazon Web Services to invest $10 billion in UK data centres over 5 years

Internet giant Amazon's cloud computing arm, Amazon Web Services, said on Wednesday that it plans to spend 8 billion pounds ($10.45 billion) in the United Kingdom over the next five years to build, operate and maintain data centres. The company expects the investment project to contribute 14 billion pounds to the country's gross domestic product by the end of 2028 and to support more than 14,000 jobs at British businesses. Click here to connect with us on WhatsApp The project represents a step-up in the pace of Amazon's investment in Britain. Since 2022 AWS has invested 3 billion pounds in facilities in London and Manchester. "Our team that builds our data centres globally take into account multiple levers that they have to look at before they can decide where to put data centres ... from power to water to the local environment," Tanuja Randery, a managing director at AWS, told Reuters. She singled out use of artificial intelligence as among the factors driving demand for cloud services. AWS has been investing heavily across Europe, announcing a 15.7 billion euros investment in Spain earlier this year and another 7.8 billion euros in Germany. More From This Section US elections: Harris, Trump attack each other in debate's opening moments Abortion rights measure will be on Missouri's November ballot, court rules Boeing must be 'in the green' before 737 Max cap lifted, says FAA chief GOP gives highest honour on 13 troops killed during Afghan withdrawal US airlines may soon face cash penalties for delayed, cancelled flights Analysts and executives say many big corporate customers have started spending again on cloud computing after pausing last year, as interest in artificial intelligence drives a rebound of growth in the $270 billion cloud infrastructure market. The investment was welcomed by British finance minister Rachel Reeves, who has been courting foreign investors ahead of an investment summit on Oct. 14. Britain's government said the data centres would be located to support demand in London and areas to the west, but that Amazon would not disclose the exact locations for security reasons. "The government is also actively engaged in conversations with the company about investments in other parts of the UK," the finance ministry said. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.) Also Read What is DDoS attack? Cyber threat hits X before Trump's interview with Musk Only 21% Amazon workers in India say work environment is safe: Report AWS launches accelerator programme to support space-tech startups HCL Technologies launches Enterprise AI Foundry to speed up GenAI-led biz AWS in talks with Italy to invest billions of euros in cloud plan: Report

AWS to invest £8bn into UK digital infrastructure

UK Chancelor Rachel Reeves said the investment will boost growth in the country, but AWS is currently under investigation for alleged anti-competitive practices. Amazon Web Services (AWS) plans to invest £8bn into the UK over the next five years as it continues to grow its infrastructure around the world. The company said the investment into its digital and AI infrastructure will help meet the growing needs of its customers and support the transformation of the UK's digital economy. The company estimates that the investment will support around 14,000 jobs per year across the country. UK Chancellor Rachel Reeves said the investment aligns with the government's mission to boost growth and unlock investment for the country. AWS estimates that its investment will contribute £14bn to the UK's total GDP from 2024 to 2028. Reeves said the investment marks the start of an "economic revival" and shows that "Britain is a place to do business". "I am under no illusion to the scale of the challenge facing our economy and I will be honest with the British people that change will not happen overnight," Reeves said. "Two quarters of positive economic growth does not make up for fourteen years of stagnation under the previous government. "I am determined to go further so we can deliver on our mandate to create jobs, unlock investment and make every part of Britain better off. The hard work to fix the foundations of our economy has only just begun." AWS has been investing massively into growing its digital infrastructure around the world, particularly in Europe. The company revealed plans in June to invest €8.8bn into its existing cloud infrastructure in Germany - this followed an announcement that AWS will invest €7.8bn in Germany between now and 2040. The previous month, AWS said it will invest €15.7bn into Spain and that it will expand its cloud infrastructure in the Aragon region. This was shortly followed by Microsoft making a similar investment announcement. Investing during investigation The investment comes during a probe into both AWS and Microsoft's potentially anticompetitive practices in the UK's cloud sector. The UK's Competition and Markets Authority is investigating the cloud services market to see if there are any potential factors impacting competition. This investigation was prompted by a study from Ofcom, which found that AWS and Microsoft had a combined share in the UK's cloud market of 70pc to 80pc in 2022. Mark Boost, CEO of UK cloud company Civo, said a major investment would "normally deserve unequivocal celebration", but that the UK needs to consider "where the money is actually going". "Expensive data centre infrastructure and AI hardware, that will be a significant amount of this investment, are not made and sold by UK companies," Boost said. "With AWS facing serious questions over its business practices, the chancellor would do well to be wary." Don't miss out on the knowledge you need to succeed. Sign up for the Daily Brief, Silicon Republic's digest of need-to-know sci-tech news.

Amazon To Invest GBP8 Bn In UK In Boost For New Labour Govt

US tech giant Amazon is to invest GBP8 billion ($10.5 billion) in Britain over the next five years, creating thousands of jobs via its web services arm, the company and UK government announced Wednesday. The announcement is a welcome boon for Britain's recently elected Labour government, which has put firing economic growth at the heart of its pledge to "rebuild" the country. The investment -- to build, operate and maintain data centres in the UK -- could contribute GBP14 billion to the country's gross domestic product (GDP) and "support" more than 14,000 jobs annually across the supply chain, Amazon said. It is the firm's latest announcement of a large investment in a European country by its Amazon Web Services (AWS) cloud computing division, and comes amid debate within the European Union about "cloud" computing services. "This GBP8 billion investment marks the start of the economic revival and shows Britain is a place to do business," UK finance minister Rachel Reeves said in a statement. "I am determined to go further so we can deliver on our mandate to create jobs, unlock investment and make every part of Britain better off. "The hard work to fix the foundations of our economy has only just begun." Underscoring the challenge the government faces, official data showed on Wednesday that Britain's economy posted zero growth for a second consecutive month in July. The new Labour government is hosting an international investment summit in London on October 14, as part of its plans to boost economic growth. In particular, it wants to capitalise on the country's tech sector. Amazon said the money will be spent expanding the operations of its AWS subsidiary. The e-commerce behemoth is seeking to capitalise on the rising demand for cloud computing capacity such as server space. UK government agencies and companies such as airline Easyjet, bank Natwest and Sainsbury's supermarket already use AWS data centres, like many of the world's top firms. "The next few years could be among the most pivotal for the UK's digital and economic future," said Tanuja Randery, AWS Vice President and Managing Director, Europe, Middle East & Africa. AWS's expansion would help "organisations of all sizes across the country increasingly embrace technologies like cloud computing and AI to help them accelerate innovation, increase productivity, and compete on the global stage", she added. In recent months, the subsidiary has announced it is set to invest tens of billion of euros in Germany, Spain and France. It comes amid discussions in the EU about a "European sovereign cloud" which would allow the storage and processing of data online without going through American technology giants. Amazon employs 75,000 people in Britain, at more than 100 sites. It said in its press release that it invested GBP56 billion in the country between 2010 and 2022. The company announced last month that it had doubled group quarterly profits, driven by the cloud and AI. AWS revenue grew 19 percent to $26.3 billion in the second quarter. Amazon is the world's number one cloud provider but has fallen behind the two other giants in the sector, Microsoft and Google, in generative AI.

Amazon's £8 billion investment in the U.K. marks 'the start of the economic revival' government says

The announcement is a welcome boon for Britain's recently elected Labour government, which has put firing economic growth at the heart of its pledge to "rebuild" the country. The investment -- to build, operate and maintain data centres in the UK -- could contribute £14 billion to the country's gross domestic product (GDP) and "support" more than 14,000 jobs annually across the supply chain, Amazon said. It is the firm's latest announcement of a large investment in a European country by its AWS cloud computing division, and comes amid debate within the European Union about "cloud" computing services. "This £8 billion investment marks the start of the economic revival and shows Britain is a place to do business," UK finance minister Rachel Reeves said in a statement. "I am determined to go further so we can deliver on our mandate to create jobs, unlock investment and make every part of Britain better off. "The hard work to fix the foundations of our economy has only just begun." Amazon said the money will be spent expanding the operations of its Amazon Web Services (AWS) subsidiary. The e-commerce behemoth is seeking to capitalise on the rising demand for cloud computing capacity such as server space. UK government agencies and companies such as airline easyJet, bank Natwest and Sainsbury's supermarket already use AWS data centres, like many of the world's top companies. "The next few years could be among the most pivotal for the UK's digital and economic future," said Tanuja Randery, AWS Vice President and Managing Director, Europe, Middle East & Africa. He added AWS' expansion would help "organisations of all sizes across the country increasingly embrace technologies like cloud computing and AI to help them accelerate innovation, increase productivity, and compete on the global stage". In recent months, the subsidiary has announced it is set to invest tens of billion of euros in Germany, Spain and France. It comes amid discussions in the EU about a "European sovereign cloud" which would allow the storage and processing of data online without going through American technology giants. Amazon employs 75,000 people in Britain, at more than 100 sites. It said in its press release that it has invested £56 billion in the country between 2010 and 2022. The company announced last month that it had doubled its quarterly profits, driven by the cloud and AI. AWS revenue grew 19 percent to $26.3 billion in the second quarter. Amazon is the world's number one cloud provider but has fallen behind the two other giants in the sector, Microsoft and Google, in generative AI.

Amazon to invest £8 bn in UK in boost for new Labour govt

The announcement is a welcome boon for Britain's recently elected Labour government, which has put firing economic growth at the heart of its pledge to "rebuild" the country. The investment -- to build, operate and maintain data centres in the UK -- could contribute £14 billion to the country's gross domestic product (GDP) and "support" more than 14,000 jobs annually across the supply chain, Amazon said. It is the firm's latest announcement of a large investment in a European country by its Amazon Web Services (AWS) cloud computing division, and comes amid debate within the European Union about "cloud" computing services. "This £8 billion investment marks the start of the economic revival and shows Britain is a place to do business," UK finance minister Rachel Reeves said in a statement. "I am determined to go further so we can deliver on our mandate to create jobs, unlock investment and make every part of Britain better off. "The hard work to fix the foundations of our economy has only just begun." Underscoring the challenge the government faces, official data showed on Wednesday that Britain's economy posted zero growth for a second consecutive month in July. The new Labour government is hosting an international investment summit in London on October 14, as part of its plans to boost economic growth. In particular, it wants to capitalise on the country's tech sector. Amazon said the money will be spent expanding the operations of its AWS subsidiary. The e-commerce behemoth is seeking to capitalise on the rising demand for cloud computing capacity such as server space. 'Pivotal' UK government agencies and companies such as airline Easyjet, bank Natwest and Sainsbury's supermarket already use AWS data centres, like many of the world's top firms. "The next few years could be among the most pivotal for the UK's digital and economic future," said Tanuja Randery, AWS Vice President and Managing Director, Europe, Middle East & Africa. AWS's expansion would help "organisations of all sizes across the country increasingly embrace technologies like cloud computing and AI to help them accelerate innovation, increase productivity, and compete on the global stage", she added. In recent months, the subsidiary has announced it is set to invest tens of billion of euros in Germany, Spain and France. It comes amid discussions in the EU about a "European sovereign cloud" which would allow the storage and processing of data online without going through American technology giants. Amazon employs 75,000 people in Britain, at more than 100 sites. It said in its press release that it invested £56 billion in the country between 2010 and 2022. The company announced last month that it had doubled group quarterly profits, driven by the cloud and AI. AWS revenue grew 19 percent to $26.3 billion in the second quarter. Amazon is the world's number one cloud provider but has fallen behind the two other giants in the sector, Microsoft and Google, in generative AI.