Amazon to invest more than $35 billion in AI and exports to India

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Dec. 10 (Reuters) – Amazon (AMZN.O)opens a new tab The US e-commerce giant said on Wednesday it plans to invest more than $35 billion in India by 2030 to expand its operations by strengthening its artificial intelligence capabilities and increasing exports, as global tech companies increase their presence in Asia's third-largest economy.

Major US technology companies have poured billions of dollars into India this year, highlighting the country's emergence as a strategic hub for growth in cloud, AI and deep technology.

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Microsoft (MSFT.O)opens a new tab Google (GOOGL.O) on Tuesday pledged to invest $17.5 billion in AI and cloud infrastructure in India by 2030, making it Asia's biggest investment.opens a new tab will spend $15 billion over the next five years to build AI data centers.

Amazon's investment is “strategically aligned with India's national priorities, with a focus on expanding AI capabilities, strengthening logistics infrastructure, supporting small business growth, and job creation,” the company said in a statement.

Amazon is increasing spending domestically to compete with Walmart-backed Flipkart and the retail arm of billionaire Mukesh Ambani's Reliance Industries (RELI.NS).opens a new tab.

The e-commerce giant, which has invested $40 billion in India since 2010, announced a $26 billion investment in 2023.

Amazon said it plans to create an additional 1 million job opportunities in India by 2030. The company also said it has contributed more than $20 billion in cumulative exports to Indian distributors over the past decade and plans to increase that to $80 billion by 2030.

India, the world's most populous country, is an important market for Amazon because of its rapidly expanding internet user base.

Reporting by Kashish Tandon in Bengaluru. Editing: Mrigank Daniwala

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