Amazon Web Services (AWS) said this new investment will create 1,000 jobs. Virginia Republican Governor Glenn Youngkin said AWS will establish multiple data center campuses across Virginia.
In 2021, AWS said that from 2011 to 2020, it had invested $35 billion in data centers in Northern Virginia and had 3,500 full-time employees at its data centers in the state.
Pending approval by state legislators, Virginia is developing a new “Mega Data Center Incentive Program,” which would allow the company to benefit from an extension of up to 15 years in sales tax exemptions and use of data centers on equipment and software.
AWS will also be eligible for a state grant of up to $140 million “for site and infrastructure improvements, workforce development, and other project-related costs.”
In 2018, after a long contest, Amazon announced that Northern Virginia would host its second headquarters known as “HQ2” and eventually employ more than 25,000 employees. In April, Amazon said its staff assigned to the site was about 5,000 people.
Youngkin has faced some criticism for withdrawing from a competition to attract a new Ford Motor battery plant to be built with Chinese company Contemporary Amperex Technology Co Ltd CATL.
A spokesperson for Mr. Youngkin said earlier this week: “Although Ford is an iconic American company, it has become clear that this proposal would serve as a front for the Chinese Communist Party, which could jeopardize our economic security and privacy of Virginians.”
Ford declined to comment on Youngkin’s comments, the status of the planned installation or its discussions with CATL, but said in July that it plans to locate 40 GWh of battery capacity in North America starting in 2026.