Amazon Subsidiary to Invest $5 Billion in South Korea, Presidential Office Says
2025-10-29 11:52
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Wedoany.com Report-Oct. 29, Amazon Web Services (AWS) announced on Wednesday that it will invest at least $5 billion in South Korea by 2031 to establish new artificial intelligence data centres, supporting Seoul’s goal to become a leading AI hub in Asia. The announcement came during a meeting between AWS CEO Matt Garman and South Korean President Lee Jae Myung at the Asia-Pacific Economic Cooperation (APEC) summit in Gyeongju.

A logo for Amazon Web Services (AWS) is seen at the Viva Technology conference dedicated to innovation and startups at Porte de Versailles exhibition center in Paris, France, June 12, 2025.

Amazon is among seven global companies that pledged a total of $9 billion in investments over the next five years during meetings with President Lee. Lee highlighted that Amazon’s investment will accelerate the growth of South Korea’s AI ecosystem and help the country aim for a position among the world’s top three AI leaders.

Garman said: "At AWS, we've invested and committed to investment of an additional $40 billion across 14 non-U.S. APEC countries and economies between now and 2028. And, that $40 billion actually drives an additional $45 billion in U.S. GDP and downstream benefit, benefiting all of the APEC economy."

The planned AWS data centres will be built on the outskirts of Seoul, expanding the company’s regional infrastructure to support AI workloads. In June, AWS had unveiled a separate $4 billion investment plan in South Korea, part of SK Group’s efforts to build the country’s largest data centre in Ulsan. AWS has also announced investments in other Asia-Pacific countries, including Japan, Australia, and Singapore.

Earlier this month, South Korea’s presidential office reported that OpenAI plans to establish joint ventures with Samsung Electronics and SK Group to develop two AI-focused data centres, described as a Korean-style Stargate, with an initial capacity of 20 megawatts. OpenAI noted that South Korea has the second-largest number of paying ChatGPT subscribers globally, after the United States.

In addition, OpenAI signed preliminary agreements to source memory chips for its data centres from Samsung Electronics and SK Hynix, further strengthening South Korea’s role in global AI infrastructure and semiconductor supply chains.

The combined efforts of AWS, OpenAI, and domestic partners are expected to enhance South Korea’s technological capabilities and position the country as a central hub for AI development and data centre operations in Asia. The initiatives are also likely to create economic benefits through investment, employment, and advanced technology adoption, supporting President Lee’s strategy to foster innovation-led growth in the region.

Through these projects, South Korea aims to integrate its AI industry with global technology leaders, expand its data centre capacity, and leverage partnerships with multinational firms to strengthen its digital economy. AWS and OpenAI’s investments reflect confidence in the country’s infrastructure, talent pool, and strategic position in Asia’s rapidly expanding AI sector.

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