Amazon’s investment in Germany, totaling $10.75 billion, is in response to the increasing demand for its products in Europe’s largest economy. This investment brings Amazon’s total planned investments in Germany to over $19 billion. The majority of this investment will be directed towards expanding its IT unit, Amazon Web Service (AWS), with the goal of meeting the growing demand for AI-related services.
German Chancellor Olaf Scholz has expressed his approval of this investment, noting that it is expected to create over 4,000 jobs this year. Germany is currently facing economic challenges stemming from high energy costs and interest rates, as well as trade tensions between the EU and China. Industries in Germany are concerned about potential losses if these tensions escalate, making Amazon’s investment a welcome development in the midst of economic uncertainty.
In addition to its investments, Amazon has entered into partnerships with other companies in Europe. One notable partnership is with Just Eat Takeaway, Europe’s largest food delivery company, which has agreed to offer free delivery of food orders to Amazon Prime members in Germany, Austria, and Spain. A similar agreement was reached with Just Eat’s US business: GrubHub.
Overall, Amazon’s significant investment in Germany reflects the company’s commitment to expanding its presence in Europe and meeting the growing demand for its products and services. The creation of jobs and partnerships with other companies further solidify Amazon’s position as a key player in the European market, despite the economic challenges facing the region.
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https://www.wionews.com/business-economy/amazon-invests-billions-in-germany-to-expand-cloud-services-and-boost-jobs-733278/amp