Amazon Announces $20 Billion Investment in Pennsylvania Data Centers
Amazon has announced plans to invest at least $20 billion in building two data centers in Pennsylvania, a move that highlights the growing demand for AI infrastructure. The data centers will be located in Salem Township, alongside the Susquehanna nuclear power plant, and in Falls Township, on the site of a former steel mill.
Pennsylvania Governor Josh Shapiro (D) revealed the investment on Monday, emphasizing the significance of this development for national security and the future of AI. Shapiro stated, “Pennsylvania workers, over decades, over centuries, have made our Commonwealth and our country safer and freer, and what we are talking about here today is yet another national security issue that Pennsylvania can lead on.” He further noted, “There is a battle for supremacy when it comes to AI, a battle that will be won by either the United States or China. I’m comforted by the fact that thanks to Amazon, the future of AI is going to run right here through the Commonwealth of Pennsylvania.”
This investment is part of a larger trend in the tech industry, where companies are racing to develop AI capabilities. The demand for data centers has surged, with other major developments including President Trump’s announced Stargate project, a $500 billion investment in AI infrastructure over the next four years.
However, the rapid growth of AI has also led to increased energy demands, prompting major tech firms to seek additional capacity, including nuclear energy. Amazon has faced challenges from federal regulators regarding its plans to increase power supply to its new data center near the Susquehanna nuclear plant. The Federal Energy Regulatory Commission (FERC) rejected Amazon’s request to alter an existing agreement with the power plant in November, a decision upheld in April.
The investment in Pennsylvania underscores the evolving landscape of AI development and the significant infrastructure investments required to support it.
