Amazon (NASDAQ:AMZN) Web Services (AWS) stated on Tuesday that it will invest $8.87 billion or SG$12 billion over the next five years to expand its cloud infrastructure and services in Singapore. AWS is Amazon’s cloud computing business and launched its first Asia-Pacific region in Singapore in 2010. This was AWS’s first investment outside of the U.S. and Europe.
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Since then, AWS has invested over SG$11 billion into Singapore’s cloud infrastructure and ecosystem.
Priscilla Chong, country manager of AWS Singapore stated that the tech giant has since trained 400,000 people in Singapore in cloud skills and plans to further invest in upskilling and improve productivity across the country.
MSFT Also Invests Further in Southeast Asia
Similar to AMZN, on a recent visit to Southeast Asia, Microsoft’s (NASDAQ:MSFT) CEO Satya Nadella also announced an increase in investment in the continent. Considering the boom in AI, MSFT plans to invest $1.7 billion over the next four years in expanding cloud services and artificial intelligence in Indonesia.
Moreover, the tech titan will invest another $2.9 billion in Japan and another $2.2 billion in Malaysia to advance its AI business.
Is Amazon a Buy, Hold, or Sell?
Analysts remain bullish about AMZN stock, with a Strong Buy consensus rating based on a unanimous 41 Buys. Over the past year, AMZN has increased by more than 75%, and the average AMZN price target of $219.50 implies an upside potential of 16.6% from current levels.
