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On Tue, 17 Dec, 12:03 AM UTC
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AWS Pours $10B In New Ohio Data Centers To 'Drive Innovation In AI'
The cloud leader is continuing to pour billions into expanding its data center footprint by announcing a new $10 billion investment in Ohio. "Today, we reaffirm our long-term commitment to Ohio with plans to invest an additional $10 billion to expand our data center infrastructure in greater Ohio to drive innovation in AI for customers," said Roger Wehner, vice president of economic development at AWS, in a statement. The $110 billion Seatle-based cloud company will build new data centers in various communities across the greater Ohio region. No exact locations yet have been identified as AWS is still reviewing sites. [Related: The 10 Biggest AWS News Stories Of 2024: CEO Exit, AI And Partners] AWS' new $10 billion investment will go toward growing its data center infrastructure over the next six years to support its AWS cloud regions and AWS availability zones. Data centers house massive amounts of IT hardware including storage systems, networking devices, servers and much more that power the digital world. "Since 2015, AWS has invested more than $10.3 billion in the state and currently supports more than 4,760 jobs annually. This expanded investment is expected to create new, well-paying jobs, boost Ohio's GDP, and further cement our partnership with the state," said AWS' Wehner. AWS' new investment builds on the company's previous $7.8 billion investment plan in Ohio announced in 2023. AWS said by 2030, the company will have invested a total of more than $23 billion in Ohio. AWS Is The World's Largest Cloud Company AWS continues to dominate the global cloud infrastructure services market by owning a 31 percent share of the market, according to data from IT research firm Synergy Research. AWS achieved 31 percent share of that market, followed by Microsoft at 20 percent and Google Cloud at 13 percent. All three cloud giants -- Google, Amazon and Microsoft -- are investing billions each year in IT infrastructure to enable their AI product portfolios. In its most recent third quarter 2024, AWS reported $27.5 billion in total sales, representing a growth rate of 19 percent year over year. AWS is the most profitable business unit inside its $159 billion parent company Amazon with AWS' operating income for Q3 2024 reaching $10.4 billion, up 48 percent year over year.
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AWS reveals $10bn cloud and AI investment in Ohio, bringing hundreds of jobs
Ohio's renewable energy projects will generate 2.9 GWh of energy annually Amazon Web Services (AWS) has confirmed plans to invest another $10 billion in Ohio by the end of the decade as part of an ongoing spending spree to fuel its AI-related growth. Together with the $7.8 billion AWS announced for Ohio earlier in 2024, and $6 billion invested in 2022, total AWS data center investment in the state is set to reach more than $23 billion by 2030. Overall Amazon investment since 2010 stands at $35 billion, as it aims to meet the increasing demand for cloud computing, artificial intelligence and data centers. Roger Wehner, AWS VP of Economic Development, said the multi-billion dollar sum will go into creating hundreds of new AWS jobs in technical roles like data center engineers, network specialists, engineering operations managers and security specialists. Locally, telecommunications, facilities maintenance and electricity generation roles are also set to benefit indirectly from increased AWS activity in the region. Ohio Governor Mike DeWine commented: "AWS's substantial investment in Ohio will help keep our state at the forefront of the global technology." Amazon says that since 2010, it has contributed $31 billion to Ohio's state GDP, including 38,000 direct jobs and a further 72,000 indirect roles. Ohio Lieutenant Governor Jon Husted added: "These are significant investments from AWS that support Ohio's growing reputation as the tech hub of the Midwest." The company also noted its commitment to matching its consumption with renewable energy generation, and its Ohio projects have proven instrumental to this, including 23 wind and solar projects that will generate 2.9 gigawatt hours of electricity annually. Wehner concluded: "The cloud is powering innovation across all sectors of the modern economy. AWS is proud to expand our cornerstone investment beyond Central Ohio to help drive the next generation of cutting-edge technologies such as AI." More broadly, the company has been on a spending spree to back its AI advancements, including an $11 billion injection into Indiana and $10 billion in Mississippi, all announced in 2024.
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Governor DeWine Announces $10 Billion Investment Plan from Amazon Web Services in Greater Ohio
COLUMBUS, Ohio, Dec. 16, 2024 (GLOBE NEWSWIRE) -- Ohio Governor Mike DeWine, Lt. Governor Jon Husted, the Ohio Department of Development, and JobsOhio announced today that Amazon Web Services (AWS) plans to invest an estimated $10 billion in additional funding to expand its data center infrastructure across greater Ohio, creating hundreds of new, well-paying jobs by the end of 2030 and strengthening the state's role as a major technology hub. The new data centers will contain computer servers, data storage drives, networking equipment, and other forms of technology infrastructure used to power cloud computing, including artificial intelligence (AI) and machine learning. The new investment builds on the $7.8 billion investment plan announced by AWS last year, which was in addition to the more than $6 billion already invested through 2022, bringing the company's announced planned investment in Ohio since 2015 to more than $23 billion by the end of 2030. This represents the second-largest planned investment by a single private sector company in the state's history. AWS plans to expand its data centers outside of Central Ohio in additional communities across the state. The company has not finalized the locations for investment and will continue to evaluate all potential sites. Investment plans are contingent upon the execution of long-term energy service agreements. "As reliance on digital services continues to grow, so does the importance of data centers; they are critical to today's modern economy," said Governor DeWine. "AWS's substantial investment in Ohio will help keep our state at the forefront of the global technology." "These are significant investments from AWS that support Ohio's growing reputation as the tech hub of the Midwest," said Lt. Governor Husted. "Artificial Intelligence and data centers are crucial to America's economic superiority because they drive innovation, support high-tech industries, enhance productivity across sectors, and enable the analysis and management of vast data essential for global competitiveness." Since opening its first Ohio data center in 2016, AWS has made substantial contributions to the state's economy. The company estimates it has invested $10.3 billion in Ohio and contributed an estimated $3.8 billion in total gross domestic product (GDP) to the state between 2015-2023. AWS's investments support thousands of new jobs in high-demand sectors like telecommunications, software development, facilities maintenance, and electricity generation within the cloud infrastructure supply chain. "Today, we reaffirm our long-term commitment to Ohio with plans to invest an additional $10 billion to expand our data center infrastructure in greater Ohio to drive innovation in AI for customers," said Roger Wehner, vice president of economic development at AWS. "Since 2015, AWS has invested more than $10.3 billion in the state, and currently supports more than 4,760 jobs annually. This expanded investment is expected to create new, well-paying jobs, boost Ohio's GDP, and further cement our partnership with the state. We are also proud to continue expanding the reach of workforce development and educational programs that equip Ohio's next generation of tech talent through strong public and private partnerships." JobsOhio is one of multiple economic development teams collaborating with AWS to support the expansion. "Thanks to the growing number of data center leaders in our state, Ohio has emerged as one of the nation's foremost technology centers, helping us attract business innovators that hadn't previously considered locating here," said JobsOhio President and CEO J.P. Nauseef. "AWS was the first major cloud provider in our state and their success has helped pave the way for the explosive growth we're seeing now." #### About JobsOhio JobsOhio, Ohio's private nonprofit economic development corporation, enhances company growth and personnel development through business attraction, retention, and expansion across ten competitive industry sectors. With a team of seasoned professionals, JobsOhio utilizes a comprehensive network to foster talent production in targeted industries and attract talent through Find Your Ohio. Collaborating with seven regional partners, including Dayton Development Coalition, Lake to River Economic Development, Ohio Southeast Economic Development, One Columbus, REDI Cincinnati, Regional Growth Partnership, and Team NEO, JobsOhio delivers world-class customer service to provide companies with a competitive advantage. Learn more at www.jobsohio.com. Follow us on LinkedIn, X, and Facebook. Matt Englehart JobsOhio 614-300-1152 communications@jobsohio.com Dan Tierney Ohio Governor Mike DeWine 614-644-0957 Dan.Tierney@governor.ohio.gov Jill Del Greco Ohio Governor Mike DeWine 614-644-0957 Jill.DelGreco@governor.ohio.gov Lindsay Bednar AWS linbedna@amazon.com Market News and Data brought to you by Benzinga APIs
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Amazon's $10B Ohio Data Center Expansion Reflects US AI Ambitions
President-elect Donald Trump has historically had a light stance on AI regulation. Amazon Web Services has announced that it will invest another $10 billion to boost data center infrastructure in Ohio. The move comes as America continues to push for dominance in the AI sector, leveraging strategic investments and regulatory measures to maintain a competitive edge. Amazon Data Center Expansion Amazon's new investment will be used to expand upon its existing data center in the U.S., which was opened in Ohio in 2016. The newly built data center will be fitted with computer servers, storage drives, and other advanced equipment to power AI. Amazon has not yet confirmed where the new data center will be located. The investment follows the tech giant's previous commitment of $13.8 billion to the State's data center infrastructure. U.S. AI Dominance The U.S. continues to be a dominant force in the AI space - which could be further boosted by President-elect Donald Trump. Trump has historically adopted a deregulatory approach to AI, focusing on reducing regulatory barriers and fostering innovation. During his campaign, the President-elect claimed that he would repeal Joe Biden's "dangerous" Executive Order , which he said "hinders AI Innovation." In October 2023, Biden deployed a new regulation that enabled the government to oversee and advise AI companies. Trump's manifesto claimed the order imposed "Radical Left-wing ideas on the development of this technology." "In its place, Republicans support AI Development rooted in Free Speech and Human Flourishing," Trump's manifesto read. The U.S. has also seen major investments in AI, including SoftBank's pledge of $100 billion. SoftBank CEO Masayoshi Son said he hoped the investment would create 100,000 jobs focused on AI and infrastructure through its investment, CNBC reported. The increasing competition among these tech giants has spurred innovations in both consumer-facing products and foundational technologies, such as semiconductors and new algorithms. By 2030, the McKinsey Global Institute estimates that tasks accounting for up to 30% of the hours now worked across the U.S. could be automated, displacing up to 12 million workers. In October, Google CEO Sundar Pichai announced a series of structural changes to the tech giant to accelerate the company's AI standing. The search engine giant said it would combine its Gemini and Google DeepMind teams to boost the efficiency of AI product development. Google also blended its Assistant teams with its Platforms and Devices division, putting a greater emphasis on creating smart AI. Meanwhile, PwC launched a restructuring plan that would blend both its AI division and its standalone technology unit.
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Amazon Web Services (AWS) announces a $10 billion investment in Ohio to expand its data center infrastructure, aiming to drive AI innovation and create hundreds of new jobs by 2030.
Amazon Web Services (AWS) has unveiled plans to invest an additional $10 billion in expanding its data center infrastructure across Ohio by 2030. This significant investment aims to drive innovation in artificial intelligence (AI) and cloud computing, while also creating hundreds of new jobs in the region 123.
The $10 billion investment builds upon AWS's previous commitments to Ohio, bringing the company's total planned investment in the state to more than $23 billion by 2030 13. This represents the second-largest planned investment by a single private sector company in Ohio's history 3.
Roger Wehner, Vice President of Economic Development at AWS, stated, "Since 2015, AWS has invested more than $10.3 billion in the state and currently supports more than 4,760 jobs annually" 1. The expanded investment is expected to create new, well-paying jobs, boost Ohio's GDP, and further strengthen the partnership between AWS and the state 12.
The new data centers will house advanced technology infrastructure, including computer servers, data storage drives, and networking equipment. This infrastructure will be used to power cloud computing, with a particular emphasis on artificial intelligence and machine learning capabilities 23.
AWS's investment reflects the growing importance of data centers in the modern economy and the increasing demand for AI-related services. The cloud leader's expansion is part of a broader trend of major tech companies investing heavily in AI infrastructure across the United States 4.
The investment is expected to create hundreds of new jobs in various technical roles, including:
Additionally, indirect job creation is anticipated in sectors such as telecommunications, facilities maintenance, and electricity generation 2.
As part of its expansion, AWS has emphasized its commitment to sustainability. The company's Ohio projects include 23 wind and solar installations that will generate 2.9 gigawatt hours of electricity annually, supporting AWS's goal of matching its energy consumption with renewable energy generation 2.
Governor Mike DeWine and Lieutenant Governor Jon Husted have praised the investment, highlighting its significance for Ohio's technology sector. "AWS's substantial investment in Ohio will help keep our state at the forefront of the global technology," said Governor DeWine 3.
Lieutenant Governor Husted added, "These are significant investments from AWS that support Ohio's growing reputation as the tech hub of the Midwest" 2.
AWS's investment in Ohio is part of a larger trend of major tech companies expanding their AI capabilities across the United States. This aligns with the country's push for dominance in the AI sector, leveraging strategic investments and regulatory measures to maintain a competitive edge 4.
As the AI landscape continues to evolve, investments like AWS's in Ohio are likely to play a crucial role in shaping the future of technology and economic development in the United States.
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Amazon Web Services announces a significant $11 billion investment in Georgia to expand its cloud computing and AI infrastructure, creating jobs and strengthening the state's position as a technology hub.
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Amazon Web Services (AWS) announces a significant $10.5 billion investment in the UK to bolster its cloud computing and artificial intelligence infrastructure. This move aims to meet growing demand and support the country's digital economy.
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Amazon's Q2 earnings reveal strong AWS performance and increased AI investments. CEO Andy Jassy emphasizes the company's commitment to AI development and its impact on future growth.
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Amazon reports strong Q3 2024 earnings, with AWS showing significant growth driven by AI investments. CEO Andy Jassy defends high capital expenditure on AI infrastructure as a long-term strategic move.
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Amazon Web Services (AWS) reports slower growth than expected, citing supply chain issues and capacity constraints in its AI infrastructure build-out. Despite challenges, AWS remains optimistic about long-term AI opportunities and continues significant investments.
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