AWS to Open Data Centers in New Zealand

New AWS Region will allow customers to run workloads and securely store data in New Zealand while serving end users with even lower latency

Amazon Web Services (AWS), an Amazon.com, Inc. company, announced plans to open an infrastructure region in Aotearoa New Zealand in 2024. The new AWS Asia Pacific (Auckland) Region will consist of three Availability Zones (AZs) and join the existing 81 Availability Zones across 25 geographic AWS Regions at launch. The Region will be owned and operated by a local AWS entity in New Zealand. Globally, AWS has announced plans for 24 more Availability Zones and eight more AWS Regions in Australia, India, Indonesia, Israel, Spain, Switzerland, the United Arab Emirates, and the new AWS Region in New Zealand. The new AWS Asia Pacific (Auckland) Region will enable even more developers, startups, and enterprises as well as government, education, and nonprofit organizations to run their applications and serve end users from data centers located in New Zealand, ensuring that customers who want to keep their data in New Zealand are able to do so. AWS also released an economic impact study (EIS) that estimates it will create 1,000 new jobs through investment of NZ$7.5 billion (US$5.3 billion) in the new AWS Asia Pacific (Auckland) Region with an estimated economic impact on New Zealand’s GDP of NZ$10.8 billion (US$7.7 billion) over the next 15 years.

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“It’s fantastic to see AWS investing and developing their capabilities in New Zealand”

“AWS supports thousands of organizations across New Zealand in their drive to innovate, succeed, and grow globally. Cloud technology is providing new ways for government to further engage with citizens, for enterprises to innovate for their next phase of growth, and for entrepreneurs to build businesses and compete on a global scale,” said Prasad Kalyanaraman, Vice President of Infrastructure Services. “Our investments reflect AWS’s deep and long-term commitment to New Zealand. We are excited to build new world-class infrastructure locally, train New Zealanders with in-demand digital skills, and continue to help local organizations deliver applications that accelerate digital transformation and fuel economic growth.”

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AWS Regions are comprised of Availability Zones, which place infrastructure in separate and distinct geographic locations with enough distance to help support customers’ business continuity, yet near enough to provide low latency for high availability applications that use multiple Availability Zones. Each Availability Zone has independent power, cooling, and physical security, and is connected through redundant, ultra-low latency networks. AWS customers focused on high availability can design their applications to run in multiple Availability Zones to achieve even greater fault tolerance. The AWS Asia Pacific (Auckland) Region will enable local customers with data residency preferences to securely store data in Aotearoa, while providing even lower latency across the country.

Customers from startups to enterprises to government organizations and nonprofits will be able to use advanced technologies from the world’s leading cloud to drive innovation. AWS offers the broadest and deepest portfolio of services including analytics, compute, database, Internet of Things (IoT), machine learning, mobile services, storage, and more. Customers in New Zealand already benefit from Amazon’s ongoing investment in its global backbone through the Hawaiki Submarine Cable, a 9,300 mile (15,000 kilometer) transpacific cable system in operation since 2018 that provides a low-latency and high-bandwidth connection from Australia to New Zealand and the United States.

According to the newly released EIS, AWS plans to invest NZ$7.5 billion (US$5.3 billion) in New Zealand over the next 15 years through the new AWS Asia Pacific (Auckland) Region, which includes capital expenditures on the construction of data centers, operational expenses such as ongoing utilities and facility costs, and purchases of goods and services from regional businesses. The EIS estimates that spending on construction and operation of AWS infrastructure in New Zealand is expected to increase New Zealand’s GDP by approximately NZ$10.8 billion (US$7.7 billion) over the next 15 years. The EIS also establishes that the new AWS Region should bring direct and indirect economic benefits like new employment and sales for the data center supply chain and related sectors. In total, an estimated 1,000 new full-time equivalent (FTE) jobs will be created in New Zealand from this investment.

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