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Amazon Unveils $10 Billion Data Center Expansion in North Carolina

Amazon announced a $10 billion investment on Wednesday to expand its data center infrastructure in North Carolina. This move aims to enhance artificial intelligence and cloud computing capabilities, with plans for a 20-building campus.

The investment will generate 500 high-skilled jobs in AI roles. So far, Amazon has committed $12 billion in North Carolina, creating 24,000 full- and part-time jobs. During a recent earnings call, CEO Andy Jassy indicated that the company plans to ramp up capital expenditures to $100 billion this year, largely focusing on AI. AWS leads the cloud market but faces stiff competition from Google Cloud and Microsoft Azure in the AI arena.

Jassy emphasized that Amazon only invests when they observe strong demand signals. He sees AWS’s capital expansion in AI as a positive sign for its future growth.

Alan Howard, an analyst from Omdia, noted that Amazon is strengthening partnerships with states as part of a broad data center strategy. He highlighted Amazon’s long-term commitment to communities where they establish data centers, focusing not just on infrastructure and jobs but also on community support and renewable energy initiatives.

North Carolina has a booming tech sector, particularly in Raleigh and the Research Triangle Park. Amazon’s past investments have contributed $13.1 billion to the state’s economy. While the exact number of data centers in the state remains undisclosed, Amazon has been investing there since 2010.

The new investment will also fund workforce development programs, including data center technician training and STEM initiatives for K-12 schools. Future jobs will range from data center engineers to security specialists.

Marc Hoit, CIO of North Carolina State University, expressed enthusiasm about aligning educational initiatives with Amazon’s high-tech investments. Brooks Raiford, CEO of the North Carolina Technology Association, mentioned that this development solidifies the state’s position in the data center and AI landscape.

As of 2023, the tech industry employs over 323,000 people in North Carolina, accounting for 6.7% of the workforce. The state ranked eighth in the nation for tech employment growth between 2018 and 2023.