Amazon to Pay $1.1Billion for New Ohio Data Center

30 Oct 2014 by Technology

"Just when the biggest of the big: Amazon, seemed to have reached its carrying capacity; the company is getting ready to go even better with a new $1.1 billion data center (yes that's a lot of zeros!)

The newest datacenter will be built in central Ohio, this according to Ohio Governor John Kasich. The Governor went on to detail Amazon's plans during one of his campaign speeches (we can't fault the man for timing) last weekend and confirmed that the Seattle-based uber-Tech Giant is completely committed to the deal.

Kasich - Governor of Ohio and Bean Spiller

According to Kasich who had the following to say during his campaign stop. ""I just met with one of the top officials at Amazon'¦They're making a billion-dollar investment in cloud computing'¦So, what is coming is very exciting jobs to Ohio.""

In August, the Ohio Tax Credit Authority handed out tax credits valued over $81 million to an Amazon Web Services' subsidiary named Vadata Inc. to help out with a project that's ""a significant data center investment"" in Central Ohio, according to a project report by the Ohio Development Services Agency. The news on Wednesday seems to confirm those plans.

""At AWS, we're constantly looking for opportunities to expand our geographic coverage in order to provide lower latencies, higher operational efficiencies, and additional choice to customers in terms of where they operate their applications and store their data. Today there are 11 AWS Regions around the world, four of which are in the U.S., and we are constantly evaluating a long list of additional target countries and U.S. locations.""

Amazon's U.S. East data center '” which is more like a farm of multiple data centers '” is so far the largest (and parts of it are the oldest) piece of AWS infrastructure.

For Amazon, investing in a new billion-dollar data-center makes sense, considering it's in a location where new infrastructure could help with stability.

This summer, evidence came to light that Amazon was also scouting Germany as a possible new cloud region, which last week was confirmed when Amazon announced it set up shop in Frankfurt. Adrian Cockcroft of Battery Ventures noted at Gigaom's Structure 2014 conference that moving into Germany is a good idea for the company."

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