Microsoft is set to invest €2.2 billion ($2.4 billion) in a massive data center project in northeastern Spain, regional authorities announced Wednesday. This development aims to establish the area as a key cloud storage hub.
The new investment boosts Microsoft’s planned expenditure in Aragon to nearly €6.7 billion, regional leader Jorge Azcon told reporters. This move follows other significant plans unveiled by the US software giant, reinforcing its commitment to the region.
This announcement comes on the heels of a similar move by Amazon, which in May disclosed its cloud computing division’s plan to invest €15.7 billion to expand its data centers in Aragon, where it currently operates three facilities.
“This is great news for the Aragonese economy,” said Azcon, emphasizing the economic benefits expected from Microsoft’s investment. He believes this will create a “knock-on effect” that will attract other companies to the region.
Microsoft had previously announced in October its intention to build a data center campus in Aragon to provide cloud services to European companies and public bodies, though the investment amount was not disclosed at that time.
According to figures from the IDC consultancy, Microsoft’s project on its 88-hectare (217-acre) campus could create over 2,100 technology jobs in Aragon between 2026 and 2030.
“Data centers will play a fundamental role as the first link in the chain, generating investment, innovation, and a wider range of digital services in our community,” Azcon added.
Big tech has been ramping up its investment in data centers, which are essential for storing the vast amounts of information used by companies and individuals. This growth aligns with the demand for developing generative artificial intelligence, requiring robust electrical capacity due to the high energy consumption of these data farms.
Aragon is ideally suited for such projects, given its low population density, abundant sunshine, strong wind exposure, and existing solar and wind farms, along with its excellent connectivity to Spain’s communication networks.
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