AWS is building new data centers in Virginia.
Amazon is making another hefty investment in its cloud business.
Amazon Web Services (AWS) plans to invest $35 billion by 2040 to establish multiple data center campuses across Virginia. The e-tail giant is evaluating different localities across Virginia and will make site decisions at a later date.
The new campuses will combine expandable cloud capacity in an effort to position AWS for long-term growth in the state. Amazon established its first AWS data centers and operations facilities in Virginia in 2006, and in 2018 announced its second headquarters (HQ2) will be located in Arlington, Va.
Amazon expects this new planned investment will create at least 1,000 total new jobs across Virginia.
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“Virginia is a world leader in innovation and cloud computing, thanks to its investment in a robust, highly-skilled workforce and emphasis on long-term public and private partnerships,” said Roger Wehner, director of economic development, AWS. “Since 2006, AWS has invested more than $35 billion in Virginia, boosting the Commonwealth’s total Gross Domestic Product by nearly $7 billion and supporting thousands of jobs annually. Building on these successful beginnings, we plan to invest an additional $35 billion in the commonwealth of Virginia by 2040 and create 1,000 jobs.”
“AWS has a significant presence in Virginia, and we are excited that AWS has chosen to continue their growth and expand their footprint across the Commonwealth,” said Governor Glenn Youngkin in an official announcement of the new data center project. “Virginia will continue to encourage the development of this new generation of data center campuses across multiple regions of the commonwealth. These areas offer robust utility infrastructure, lower costs, great livability, and highly educated workforces and will benefit from the associated economic development and increased tax base, assisting the schools and providing services to the community.”
The Virginia Economic Development Partnership worked with the General Assembly’s Major Employment and Investment (MEI) Project Approval Commission to secure the project to expand data center investment to new locations across Virginia.
Pending approval by the Virginia General Assembly, the commonwealth is developing a new Mega Data Center Incentive Program, which Amazon will be eligible to receive. The new program includes up to a 15-year extension of Data Center Sales and Use tax exemptions on qualifying equipment and enabling software. In addition, and also subject to approval by the General Assembly, AWS will be eligible to receive an MEI custom performance grant of up to $140 million for site and infrastructure improvements, workforce development, and other project-related costs.