AWS To Invest Billions in Italy’s Cloud Plan

Amazon opens new tab computing unit Four sources say AWS is in talks to spend billions of euros in Italy’s data center business to enhance its cloud offering in Europe

Sources claim that parties are currently deliberating on the scale and location of the investment; one of them claims that Amazon Web Service (AWS) is contemplating the possibility of expanding its existing site in Milan or constructing a new one.

A spokesperson for the cabinet office’s digital transition department and AWS declined to comment. A representative from the Italian Ministry of Industry could not comment now.

AWS initiated operations in its inaugural cloud region in Italy in 2020, keeping its 2029 investment objective of 2 billion euros ($2.2 billion).

Its website displayed that the prestigious automobile manufacturers Ferrari (RACE.MI) and insurer Assicurazioni Generali (GASI.MI) are among its customers in the country and have opened new tabs, respectively.

AWS recently disclosed a 15.7 billion euro investment in data centers in the northeastern Aragon region of Spain. This investment supersedes a 10-year strategy revealed in 2021, wherein the organization allocated 2.5 billion euros for the nation.

AWS’ investment in Italy, according to one source, would be in the billions of dollars, but it may still need to reach the magnitude of its plans for Spain. The arrival of an announcement is not imminent.

By 2040, AWS intends to have invested 7.8 billion euros in Germany.

Additionally, AWS is constructing the infrastructure necessary to offer cloud services to telecom clients, a process that demands substantial resources.

Earlier this month, Telefonica Deutschland (TEF.MC) acquired its first customer. The company revealed its intentions to migrate one million customers to the AWS cloud in a new tab.

AWS announced plans to store data on servers in the European Union to safeguard the privacy of government and highly regulated industry customers and data. This move was made public last year.

According to analysts and executives, many large corporate clients have resumed spending on cloud computing after pausing last year.

Artificial intelligence interest drives this resurgence in the $270 billion cloud infrastructure market.
Alphabet (GOOGL.O) opened a new tab and invested 1 billion euros in Italy to establish the two cloud regions on which Intesa Sanpaolo (ISP.MI) relies.

Alphabet signed a landmark agreement in 2020 to provide cloud services to Intesa Sanpaolo.
Microsoft (MSFT.O), which announced a year ago that it would establish its first cloud region in Italy, did so in 2020 as part of a $1.5 billion investment plan.