Amazon Web Services (AWS) has launched its first cloud region in New Zealand, part of a planned NZ$7.5 billion (US$4.5 billion) investment in the country’s digital infrastructure.

The new AWS Asia Pacific (New Zealand) Region, announced on Tuesday (Sep 2), will provide local organisations with greater choice for running applications, storing data, and meeting regulatory requirements.

Three data centres at launch

The AWS New Zealand Region opens with three Availability Zones, adding to the company’s global network of 38 Regions and 120 Availability Zones. AWS said it plans to expand further, with new Regions in Chile, Saudi Arabia, and the AWS European Sovereign Cloud.

Prasad Kalyanaraman, vice president of infrastructure services at AWS, said the new Region will support demand for cloud services while enabling customers to adopt advanced technologies such as artificial intelligence and machine learning.

“With this launch, businesses can now leverage AWS technologies while meeting local data residency requirements,” he said. “By investing in New Zealand’s digital infrastructure, we are proud to support economic growth and foster innovation.”

Investment and skills training

Amazon estimates that operating the new Region will add about NZ$10.8 billion (US$6.5 billion) to New Zealand’s gross domestic product over the next decade and support more than 1,000 full-time equivalent jobs annually.

The company has also signed a memorandum of understanding with the New Zealand government to train 100,000 people in cloud skills. More than 50,000 individuals have been trained to date through AWS programmes including AWS Academy and AWS Educate.

Graeme Muller, chief executive of industry body NZTech, said Amazon’s investment could accelerate the development of highly skilled jobs across multiple sectors. “This investment in digital infrastructure and skills can help New Zealanders move into secure and well-paid technology roles,” he said.

Customers and partners

Organisations in New Zealand already using AWS include Kiwibank, Xero, Trade Me, Foodstuffs South Island, the University of Auckland and Wellington City Council. Partners such as Datacom, Deloitte, and Accenture will support customers in adopting cloud solutions.

AWS has steadily expanded its footprint in New Zealand over the past decade. It established subsea cable connections in 2016, launched Amazon CloudFront edge locations in Auckland in 2020, and introduced an AWS Local Zone in 2023.

Renewable-powered infrastructure

The new Region will run on renewable energy from day one, backed by a long-term agreement with Mercury NZ for power from the Turitea South wind farm. Amazon has committed to achieving net-zero carbon emissions across its global operations by 2040.

AWS said its infrastructure is designed for high availability, with each Availability Zone operating independently with separate power, cooling and security. A study commissioned by AWS and conducted by Accenture estimated AWS data centres are up to 4.1 times more energy-efficient than traditional on-premises IT systems.

Amazon plans to continue investing in Asia Pacific cloud infrastructure as demand grows across the region. Alongside its New Zealand launch, AWS is expanding training initiatives to build a pipeline of skilled workers.

The company said the New Zealand Region will help local organisations meet data residency requirements, lower latency for end users, and accelerate adoption of cloud technologies.