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AWS Bets Harder on LatAm; Plans Data Center in Chile

Amazon Web Services (AWS) plans to build a US$205 million data center in Chile’s capital (Santiago) as part of its broader plan for winning over Latin American clients by offering them local data storage options.

AWS filed an application with Chile’s Ministry of Environment, seeking permission to build the server space on a 17-hectare site on the outskirts of Santiago.

If everything goes according to plan, construction will begin in the second half of 2023, according to local media reports.

“In the future, we plan to invest more and expand our physical presence in Chile, to the extent that customers demand it and need it to meet their needs,” Jaime Valles, AWS’s VP for Latin America, told Reuters.

The AWS platform offers nearly 200 services, including robotics and artificial intelligence solutions.

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Amazon counts itself among the leaders in the Latin America’s cloud computing market. Nevertheless, it’s facing tougher competition from China’s Huawei, which has recently made deeper inroads into Chile and Mexico. AWS does not have a cloud region in Chile yet, while Huawei runs two data centers there.

Amazon’s Chilean customers are dependent on the company’s global network, known as Edge locations. AWS plans to launch “local zones” in major countries across Latin America, including Argentina and Colombia.

Narayan Ammachchi

News Editor for Nearshore Americas, Narayan Ammachchi is a career journalist with a decade of experience in politics and international business. He works out of his base in the Indian Silicon City of Bangalore.

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