Nearshore Americas

AWS to Invest $5 Billion in Mexican Cloud Infrastructure

Amazon Web Services (AWS) is investing over US$5 billion in Mexican cloud infrastructure to meet the growing demand for digital transformation services, fueled by companies relocating from China.

The money will be invested over the next 15 years. A significant portion will be dedicated to building a data center cluster in Querétaro.

Cloud computing, provided by services like AWS, lets companies access vital technology like storage and databases online, eliminating the need for expensive physical data centers and servers.

Cloud storages can help companies save up to 20% on technology costs, according to an AWS executive interviewed by Reuters.

Amazon’s cloud unit is already serving several deep-pocketed clients in the country, including movie theatre chain Cinepolis, stock exchange BIVA, airline Aeromexico, Kavak, Palace Resorts and Vector Casa de Bolsa, in addition to several government agencies.

“Cloud services are an essential part of everyday life, helping us to digitally and economically transform Mexico,” said Raquel Buenrostro, Mexico’s Economy Secretary, in a press release.

“We look forward to helping customers in Mexico meet data residency preferences and deliver cloud-based applications with low latency,” said Prasad Kalyanaraman, VP of Infrastructure Services at AWS.

While the exact number of jobs remains undisclosed, AWS anticipates this investment to generate employment opportunities for locals. These roles will primarily focus on cloud expertise, managing the company’s Mexican cloud region.

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Since 2020, AWS has established seven cloud edge locations and further expanded in 2023 with local zones in Querétaro.

The US tech giant says it trained over 2 million people across Latin America on cloud skills, including 400,000 in Mexico.

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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