By Yara Abi Farraj
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Amazon invests $10.75 billion in Germany to expand cloud and logistics services

AWS also announced last month plans to invest €7.8 billion in the AWS European Sovereign Cloud from 2024 to 2040
Amazon invests $10.75 billion in Germany to expand cloud and logistics services
The latest investment will add around €15.4 billion to Germany’s GDP and support over 15,200 jobs

Amazon will invest €10 billion ($10.75 billion) in Germany as demand for its cloud services and goods in the country keeps growing. Amazon stated that the majority of the investment (€8.8 billion) will go to expanding the cloud infrastructure of its computing unit Amazon Web Service (AWS) by 2026 as the potential for artificial intelligence (AI) technologies in Europe rises.

German chancellor Olaf Scholz underlined the country’s attractiveness for investors, stating that Amazon’s investment will create over 4,000 jobs this year. The announcement brings the total amount of Amazon’s planned investments in Germany to a total of €17.8 billion.

Having invested €9.6 billion in Germany from 2014 to 2023, AWS contributed around €18.4 billion to Germany’s gross domestic product (GDP), while supporting over 5,900 annual jobs over those 10 years. This $10.75 billion recent investment announcement will add around €15.4 billion to Germany’s GDP and support over 15,200 jobs annually from 2024-2026.

Amazon’s Europe investments

AWS was previously considering investing in the expansion of its data centers in Italy. In mid-May, Amazon also announced a $1.3 billion investment in its French operations to increase cloud infrastructure in the Paris area, which will support France’s generative AI sector and logistics infrastructure.

Since 2010, Amazon has invested over €20 billion in France. In addition, it has employed over 22,000 permanent employees across its cloud and online retail businesses.

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AWS European Sovereign Cloud

AWS also announced last month plans to invest €7.8 billion from 2024 to 2040 in the AWS European Sovereign Cloud. The first AWS European Sovereign Cloud will launch in Brandenburg, Germany by the end of 2025. Amazon expects this investment to contribute €17.2 billion to Germany’s economic output while supporting an annual average of 2,800 jobs from 2024 to 2040.

In line with its sustainability goals, Amazon has invested €2.4 billion in renewable energy projects and enabled more than 180 wind and solar projects across 13 countries. Once operational, they are expected to provide 6.7 gigawatts of energy capacity, enough to power over 5.7 million German households annually.

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