Amazon to increase investments in India to $26 bn

Amazon has announced its plans to significantly increase its investments in India, aiming to reach a total of $26 billion by 2030.
Amazon Kindle e-readerThe company’s CEO, Andy Jassy, made the announcement after a meeting with Prime Minister Narendra Modi in the United States, where they discussed various topics including the support of Indian startups, job creation, digitization, and global competitiveness for small businesses.

While Andy Jassy did not provide a detailed breakdown, this investment expansion follows a previous commitment by Amazon’s cloud computing unit, Amazon Web Services (AWS), to invest $12.9 billion in India by the end of 2030. The additional $6.5 billion in planned investments will primarily focus on strengthening Amazon’s e-commerce business, where it competes with Walmart’s Flipkart and Mukesh Ambani’s Reliance Retail.

The new investment commitment of $6.5 billion adds to the previous $6.5 billion announced earlier, bringing the total investment to $13 billion. This announcement aligns with the ongoing state visit of Prime Minister Modi, during which several other companies, including Applied Materials and Micron Technology, have also pledged investments in India.

In related news, Google has revealed its plans to establish a global fintech operation center in GIFT City, located in the Indian state of Gujarat. The center will support Google’s payment service, GPay, and other product operations. Sundar Pichai, Google’s CEO, confirmed that the company will continue to invest in India through the $10 billion India digitization fund.

During Prime Minister Modi’s visit to the United States, he held meetings with technology executives, including Tim Cook from Apple, Sundar Pichai from Google, and Satya Nadella from Microsoft. Modi urged global companies to consider investing in India and participate in the “Make in India” initiative.

Overall, these developments reflect the growing interest of major international companies in India’s digital economy and their recognition of its potential for growth and innovation.