Amazon investing $4 billion in Chile for AWS infrastructure

Cosmico - Amazon investing $4 billion in Chile for AWS infrastructure
Credit: Amazon.com, Inc.

Amazon is deepening its commitment to Latin America by investing more than $4 billion to build a dedicated Amazon Web Services (AWS) region in Chile. The tech giant announced on Wednesday that the new infrastructure, set to be completed by the end of 2026, will include three availability zones — clusters of isolated data centers designed for high availability and fault tolerance.

This significant investment underscores Amazon’s strategy to expand cloud services across Latin America, meeting the region’s growing demand for secure, scalable, and high-performance computing infrastructure. “The AWS South America (Chile) Region will help serve the fast-growing demand for cloud services across Latin America and in Chile,” said Prasad Kalyanaraman, AWS Vice President of Infrastructure Services. “Organizations will have the ability to build with advanced AWS technologies, like artificial intelligence and machine learning, to help accelerate growth, productivity, and innovation.”

In addition to building the physical infrastructure, Amazon plans to recruit and develop local talent to manage and support the operations of the new region. This move could bolster Chile’s technology sector and create opportunities for innovation and skills development.

Amazon already has a presence in the country, serving major customers such as LATAM Airlines, food producer Agrosuper, and Andrés Bello National University. This latest announcement follows a series of AWS expansions in Chile. In 2021, Amazon introduced AWS Outposts to extend its cloud services into on-premises environments. In 2023, it enhanced connectivity for Chilean clients by offering private links to AWS infrastructure and launched AWS Local Zones to support ultra-low-latency applications.

Amazon’s move comes amid increasing competition in the region. Google Cloud opened its Chilean region in 2021, while Microsoft Azure announced a similar initiative in 2020. Amazon’s aggressive investment reflects its intent to maintain a leadership position in Latin America’s cloud market and offer differentiated value through its broad range of services.

By establishing a dedicated region in Chile, AWS not only strengthens its presence in South America but also reinforces its broader mission to enable digital transformation and cloud adoption across emerging markets.

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