Amazon to invest $7.2 billion in Israel tech sector, launches AWS cloud region
Israel, famous for its thriving startup culture, has been grappling with a worsening slowdown in its technology sector this past year, mainly attributed to the political unrest in the country. Now, there’s some positive news as the retail giant Amazon revealed its plans to invest in the country.
Today, Amazon announced it has committed to investing approximately $7.2 billion in the country over the next 16 years, extending until 2037. This move is expected to have a profound impact on Israel’s economic landscape.
In addition, Amazon is not only focusing on investments but also taking strides in enhancing its technological infrastructure in the region. The company has officially launched its Amazon Web Services (AWS) data centers in Israel. With these cloud services now available in the country, the Israeli government will have the opportunity to utilize state-of-the-art data centers to run applications and securely store valuable data.
“The establishment of the Region will enable us to migrate substantial governmental workloads to the cloud, and we are confident that it will help us accelerate digital transformation in the public sector,” said Yali Rothenberg, accountant general of Israel.
With the expansion, ASW will now be accessible in an impressive 32 geographic regions. This significant step is poised to have a substantial impact on Israel’s economy. According to the company’s projections, its investment in Israel is expected to contribute a whopping $13.9 billion to the country’s gross domestic product (GDP).
AWS is a leading cloud computing platform used by renowned companies like Netflix, General Electric, and Sony to facilitate storage, networking, and robust remote security solutions.