Amazon Web Services (AWS) has announced its intention to increase its investment in Singapore’s cloud infrastructure by an additional $9 billion over the next five years. Priscilla Chong, AWS Singapore’s country manager, highlighted the company’s commitment to the ASEAN region since its initial investment in Singapore in 2010. AWS’s investment aims to bolster digital skills development and enhance infrastructure resilience across the region.
AWS’s latest investment will primarily focus on expanding data center capabilities in the Asia-Pacific Singapore region. Chong emphasized that AWS’s presence in Singapore has significantly contributed to the local cloud infrastructure and ecosystem, with over SG$11 billion invested since 2010. AWS’s ongoing commitment to Singapore includes training over 400,000 individuals in cloud skills since 2017, with plans to continue upskilling efforts and driving productivity enhancements throughout the country.
The rise of artificial intelligence (AI) has fueled a surge in demand for cloud computing services and data centers. AWS’s robust cloud infrastructure serves as a foundational digital infrastructure for organizations, facilitating access to essential resources such as compute power and storage, as well as advanced capabilities like AI and generative AI. Tan Kiat How, senior minister of state at Singapore’s Ministry of Communications and Information, underscored AWS’s pivotal role in enhancing the digital economy ecosystem and enabling enterprises to leverage cloud services and AI capabilities effectively.
Despite the positive outlook for the digital economy, there remains a shortage of tech professionals both in Singapore and globally. AWS’s continued investment in Singapore’s cloud infrastructure and digital skills development initiatives will help address this gap and support the region’s digitalization efforts.
As the world’s largest cloud infrastructure provider, AWS holds a dominant position in the global cloud infrastructure market, with a 31% share in the first quarter of the year. Microsoft Azure follows closely behind AWS in the second spot. In response to increasing demand for cloud and AI-related services, Microsoft recently announced plans to invest in several Southeast Asian countries, including Malaysia, Thailand, and Indonesia.
AWS’s expansion in Southeast Asia extends beyond Singapore. In October 2022, AWS revealed plans to launch a new region in Thailand, accompanied by a $5 billion investment over 15 years. Additionally, AWS committed at least $6 billion by 2037 to establish a new region in Malaysia, announced in March of last year. AWS’s presence in Southeast Asia also includes a region in Jakarta, inaugurated in December 2021.
