Amazon Web Services Expanding in Italy
Amazon Web Services (AWS) is currently in discussions with the Italian government to significantly expand its data center operations in the country. This move is part of AWS’s broader objective to enhance its cloud computing capabilities across Europe.
Investment Plans
The specifics of the investment’s magnitude and potential sites are still being determined. AWS is considering either expanding its existing facility in Milan or constructing a new site. The Italian Industry Ministry has not provided any comments on this matter.
Previous Investments
In 2020, AWS launched its first cloud region in Italy with plans to invest €2 billion ($2.175 billion) by 2029. Some of its Italian clients include luxury manufacturer Ferrari and insurer Assicurazioni Generali.
Following a recent announcement of a €15.7 billion ($17.08 billion) data center investment in Spain, AWS is now looking to invest in Italy. Despite the significant investment in Spain, sources suggest that the commitment in Italy may not be as large.
Continued Expansion
AWS has also committed to investing €7.8 billion ($8.49 billion) in Germany by 2040. The company is expanding its infrastructure to cater to telecom services, with Telefonica Deutschland being its first telecom client.
Market Trends
Last year, AWS announced plans to store data on servers in the European Union to safeguard the privacy of governmental and regulated business clients. This move aligns with the growing trend of major firms increasing cloud computing spending, driven by a surge in interest in artificial intelligence.
Competitors’ Moves
Alphabet and Microsoft are also ramping up their cloud presence in Italy. Alphabet invested €1 billion ($1.09 billion) to build cloud regions for Italy’s largest bank, Intesa Sanpaolo, while Microsoft announced its first cloud region in Italy as part of a $1.5 billion investment plan.
Strategic Expansion
As AWS continues negotiations with Italy, the company’s efforts underscore a strategic push to strengthen its cloud services across Europe. This aligns with the increasing demand driven by technological advancements and evolving needs of enterprise customers.
