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Amazon bets big on India with $35 billion AI and infrastructure push

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The tech giant aims to create millions of jobs and supercharge India’s digital economy with a massive new investment package, following similar moves by rivals Microsoft and Google.

Amazon just put down a massive bet on India. The company committed to investing another $35 billion in the country by 2030, a sweeping plan aimed at boosting India’s artificial intelligence capabilities, cloud infrastructure, and export game. Announced Wednesday (10 December), this brings Amazon’s total promised investment in India to $75 billion.

The strategy breaks down into three main areas: AI-driven digitization, ramping up exports, and creating jobs. Amazon wants to quadruple its cumulative e-commerce exports from India to $80 billion by 2030, up from $20 billion now. They’re launching a new program called “Accelerate Exports” to help manufacturers in places like Tirupur and Surat reach customers around the world.

A big chunk of the money is going toward expanding Amazon Web Services (AWS) in India. The company already pledged $12.7 billion earlier this year specifically for cloud and AI infrastructure, trying to make advanced technology accessible to everyone from small businesses to major enterprises. This infrastructure build-out is expected to create over one million new jobs, both direct and indirect, by the end of the decade.

Education is also part of the plan. Amazon says it’ll provide AI literacy and career training to four million students in government schools, lining up with India’s National Education Policy 2020.

“We are humbled to have been a part of India’s digital transformation journey,” said Amit Agarwal, Amazon’s Senior VP for Emerging Markets. “Looking ahead, we’re excited to continue being a catalyst for India’s growth… as we democratize access to AI for millions of Indians.”

The company made a point of saying this aligns with India’s national priorities. “These investments are strategically aligned with India’s national priorities and will focus on expanding AI capabilities… supporting small business growth and creating jobs,” Amazon said in a press release.

The timing is interesting. Amazon’s announcement came just one day after Microsoft pledged $17.5 billion for AI and cloud infrastructure in India. It’s a sign of how fiercely US tech giants are competing to grab a piece of the Indian market. Google has thrown in about $15 billion over the next few years too. Even with regulatory headaches and tough local competition from players like Flipkart and quick-commerce startups, global tech companies see India’s rapid digitization as absolutely critical to their growth.

This investment also cements Amazon’s position as India’s biggest foreign investor, according to a recent Keystone Strategy report. The company has already digitized over 12 million small businesses and says it supports nearly 2.8 million jobs across the country.

With this capital, Amazon plans to aggressively expand both its physical and digital presence, including new data centers in Telangana and Maharashtra. The focus on AI tools for small sellers, things like automated product listings and multilingual support, shows they’re trying to make cutting-edge technology actually useful for India’s massive small and medium business sector.

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