The cloud just got a little bit bigger. Amazon has announced plans to invest $7.2bn into a new cloud region in Israel. The funding will be provided until 2037 and will see the development of new AWS data centres.
The Cloud in Israel
AWS predicts that its investment will add $13.9bn to Israel’s GDP. The new data centre’s will allow local users to run applications and store data within their own local cloud, boosting efficiency. It should make it much more appealing and accessible for businesses to start moving onto the cloud. The government is also planning to take advantage of this development.
Yali Rothenberg, Accountant General of Israel said…
“The establishment of the Region will enable us to migrate substantial governmental workloads to the cloud, and we are confident that it will help us accelerate digital transformation in the public sector”
Amazon Is Fighting For An AI-Ready Cloud
Amazon continues to compete with Microsoft and Google Cloud for control of the market. We recently reported on the latest figures showing Google Cloud reaping record profits while Microsoft faces a plummeting share price. But what’s the status of AWS?
Well, upon this new expansion in Israel the company will be operating in 32 geographic regions. Compared with Google’s 36 and Oracle’s 44, AWS is falling behind. But this latest expansion brings them one step closer. Where AWS might have the edge is with its use of AI, such as with its new tool for doctors. We all know AI has been touted as an effective gold rush but some worry that the cloud isn’t keeping pace with its development.
Summary
Amazon has set aside an incredible $7.2bn for a new cloud region in Israel. It’s thought this investment will boost the local economy and benefit both the government and public sector. This latest of AWS’s cloud expansions makes progress in its race against its major competitors. In tandem with its AI strategy, this expansion could help Amazon conquer the cloud. Who do you think will come out on top?
