Microsoft is set to invest 2.2 billion euros ($2.4 billion) in a massive data center project in northeastern Spain, regional authorities announced Wednesday. This initiative aims to establish Aragon as a significant cloud storage hub.
The new investment, which adds to previous plans, brings Microsoft’s total planned investment in Aragon to nearly 6.7 billion euros, according to regional leader Jorge Azcon.
Following a similar move by Amazon in May, which announced a 15.7 billion euro investment to expand its data centers in the region, Microsoft’s project underscores Aragon’s growing appeal to tech giants.
“This is great news for the Aragonese economy,” said Azcon. He emphasized the economic benefits expected from this investment, which he believes will attract other companies to the area.
In October, Microsoft revealed plans to build a data center campus in Aragon to provide cloud services to European companies and public bodies. The project, spanning an 88-hectare (217-acre) campus, could create over 2,100 technology jobs in Aragon between 2026 and 2030, according to IDC consultancy figures cited by Microsoft.
“Data centers will undoubtedly play a fundamental role as the first link in the chain that will generate investment, innovation, and a wider range of digital services in our community,” Azcon said.
The surge in investments in data centers by big tech companies aligns with the rising demand for generative artificial intelligence, which requires substantial electrical capacity due to the high energy consumption of these data farms.
Aragon’s favorable conditions, including its sparse population, ample sunshine, strong wind exposure, and well-connected communications networks, make it an ideal location for such projects.
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