Financial Network reported on January 8 (Editor: Zhou Ziyi)$Amazon (AMZN.US)$The Cloud Computing department Amazon Web Services (AWS) plans to invest at least 11 billion dollars in Georgia to expand its infrastructure and support various Cloud Computing and AI technologies.

On Tuesday (January 7), the company stated in a press release that AWS will expand its operations in Georgia to promote the robust development of next-generation cutting-edge technologies like AI, "We are grateful to the state and local leaders who work with us, and we look forward to keeping Georgia at the forefront of the digital age."

AWS also estimates that this investment is expected to create about 550 jobs in the state.

It is worth mentioning that just about eight months ago, in April 2024, Amazon announced it would invest the same amount of money—11 billion dollars—in a Datacenter in Indiana, which created at least 1000 jobs. The commitment at that time was based on AWS's already strong influence in the state, and according to the plan, the new facility will house Computer Equipment to support Cloud Computing and generate AI.

Competing to invest.

The boom in AI is driving the expansion projects of many Datacenters today, as AI requires a large amount of computing power for development and running. Major Technology companies have also shown a willingness to invest heavily over the past year and have been competing to build Datacenters.

Currently, Georgia is becoming a popular site for Datacenters. Data shows that by mid-2024, the construction of Datacenters in Atlanta, Georgia, had increased by 76% year-on-year.

This is mainly because the city of Atlanta has cheap electrical utilities, ready-made fiber optic infrastructure, and state tax incentives, all of which are very attractive to large technology companies.

It is understood that Google, $Meta Platforms (META.US)$Elon Musk's X, $Microsoft (MSFT.US)$are also other major infrastructure spenders in the region. In 2023, Microsoft also purchased hundreds of acres of land in Atlanta to build a Datacenter, which is expected to cost about 1.8 billion dollars.

However, local residents in Georgia are not satisfied with these development projects, pointing out that these projects compete with housing and other more pressing real estate needs. In September 2024, the Atlanta City Council even prohibited the establishment of new datacenters in communities near transportation and the popular Beltline walkway.

In addition, datacenters often have very high electrical utilities demands. A portion of the power supply from Georgia Power relies on fossil fuels to meet the current and future electrical utilities demands of datacenters, which has been criticized by environmentalists.

Data from real estate analytics company Green Street shows that by 2028, the electrical utilities load from datacenters in the Atlanta area could grow to over 4,000 megawatts, more than 30 times that of 2012. Previously, Goldman Sachs estimated that by 2028, AI would account for about 19% of datacenter electrical utilities demand.

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Editor/ping