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AWS’ Adam Selipsky ‘Excited’ About New Cloud Region, $6B Investment

Mark Haranas

AWS will invest $6 billion in Switzerland over the next 14 years as the cloud giant launches a new AWS cloud region in Zurich.

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Amazon Web Services CEO Adam Selipsky is pumped that the $82 billion cloud giant is launching a new AWS cloud region in Zurich to drive more sales and opportunities in Switzerland, with plans to invest nearly $6 billion in the country.

“Excited about this opportunity to help more customers accelerate innovation and meet data residency requirements to store data securely in Switzerland,” said Selipsky on Twitter when unveiling the new Zurich cloud region.

The Seattle-based cloud market-share leader said it will invest approximately $6 billion in the region over the next 14 years, projecting that the new AWS Europe Zurich Region will add $16 billion to Switzerland’s gross domestic product during the next 15 years.

[Related: AWS Vs. Microsoft Vs. Google Cloud Q3 2022 Earnings Face-Off]

AWS’ billions in investment revolve around capital expenditures for the construction of data centers and operational expenses for ongoing utilities and facility costs.

Over 10,000 AWS Customers In Switzerland

“From startups and midsized businesses to enterprises and government organizations, thousands of commercial, nonprofit and public sector organizations across Switzerland are engaging their end users and growing globally with the support of AWS,” said Prasad Kalyanaraman, AWS’ vice president of infrastructure services, in a statement.

AWS said more than 10,000 customers in Switzerland are active customers leveraging AWS to run their mission-critical workloads, including Swisscom, Zurich Insurance Group and the Swiss Post.

With the new AWS Europe Zurich Region, the company now has seven AWS Regions and 21 Availability Zones across Europe in Frankfurt, Ireland, London, Milan, Paris, Stockholm and now Zurich.

“This is a continuation of our investment to support customers of all kinds, help startups scale and grow, enable technical skills development, and help organizations create cloud-powered applications that reinvent services for end users,” said Kalyanaraman.

Due to high demand for AWS, the cloud company opened two offices in Switzerland several years ago, as well as established Points of Presence in Zurich—connecting Switzerland to the AWS network backbone and offering customers access to AWS services like Amazon CloudFront and AWS Direct Connect.

AWS Has 90 Availability Zones

AWS pours billions into building and equipping new data centers across the globe to power its cloud services and availability.

AWS now has 90 Availability Zones across 28 geographic regions.

The company plans to launch 21 more Availability Zones and seven more AWS Regions in Australia, Canada, India, Israel, New Zealand, Spain and Thailand.

AWS Regions are composed of Availability Zones that place infrastructure in separate and distinct geographic locations. Availability Zones are located far enough from each other to support customers’ business continuity but 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.

The new AWS Europe Zurich Region will enable local customers with data residency requirements to store data securely in Switzerland, while providing customers with low latency.

AWS’ $82 Billion Run Rate

AWS generated $20.5 billion in sales during its recent third-quarter 2022, representing an increase of 27 percent year over year.

Operating income for AWS in the third quarter was $5.4 billion, up from $4.9 billion year over year.

As of third-quarter 2022, AWS is the worldwide market leader in cloud services, owning 34 percent share of the global market, according to new data from Synergy Research Group.

Mark Haranas

Mark Haranas is an assistant news editor and longtime journalist now covering cloud, multicloud, software, SaaS and channel partners at CRN. He speaks with world-renown CEOs and IT experts as well as covering breaking news and live events while also managing several CRN reporters. He can be reached at mharanas@thechannelcompany.com.

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