In a major move that signals the strengthening race to dominate AI infrastructure, Amazon Web Services(AWS) has announced a $7.8 billion investment in North Carolina to broaden its artificial intelligence and cloud capabilities. With a rollout through 2040, the investment will fund the construction as well as the operation of data center campuses across Wake and Mecklenburg counties. It also marks itself as one of the largest tech infrastructure commitments that the state has seen in recent years.

AWS states that this initiative shall create well over 1,000 jobs located in North Carolina. These roles will span between electrical engineers to support technicians. The company also plans to work with local institutions such as Wake Tech and Central Piedmont Community College to form an AI and cloud-ready workforce. “This long-term commitment will position North Carolina as a major hub in the growing AI economy,” said Prasad Kalyanaraman, AWS’s VP of Infrastructure Services.

The AI Trend

AWS’s latest announcement doesn’t exist in a vacuum. In April of 2024, Microsoft pledged an investment of $3.3 billion into Wisconsin mainly for growth in AI and cloud infrastructure. That followed OpenAI partnering tactically with Thrive Capital, while Google committed to build its DeepMind and Gemini ecosystems through allocating meaningful resources across multiple states.

According to Phoenix Lopez, a North Carolinian, AI developer for startup Cloudhands.ai, “collectively these moves highlight one clear pattern: the U.S. tech sector is entering an AI infrastructure aggressive expansion phase beyond just Silicon Valley”.  She added that “this decentralization allows both content creators, entrepreneurs as well as AI builders to access such new opportunities in addition to cutting-edge cloud services and talent pipelines that are beyond traditional tech corridors.

Why North Carolina

According to AWS’s press release, the company recognizes the Tarheel State’s strong research universities, growing startup scene, and access to renewable energy. These elements make North Carolina an ideal setting for a hyperscale infrastructure footprint. It’s also a strategic political move involving spreading investments into southeastern states that have become increasingly influential in the national tech landscape.

What Comes Next

A precedent is now set by way of the AWS investment commitment. Georgia, Texas, and Ohio are positioning themselves to court these opportunities, as demand explodes for generative AI tools, real-time cloud services, and data processing while tech giants are expected to follow suit with similar multi-billion-dollar investments all over the U.S.