PHOENIX – Amazon has made a major investment in Phoenix’s Laveen area, purchasing a 220-acre site for a potential data center campus. The Seattle-based e-commerce and tech giant, through its subsidiary Amazon Data Services, acquired the land for $277 million in cash, paying over $1.2 million per acre, according to land records and Tempe-based real estate database Vizzda.
An Amazon Web Services (AWS) spokesperson confirmed the transaction, stating, “We are constantly evaluating new locations based on customer demand.” The purchase signals Amazon’s continued investment in expanding its cloud computing capabilities to meet growing demand.
AWS, Amazon’s cloud-based platform, has significantly expanded its infrastructure since 2011, investing over $108 billion globally, according to the company’s 2023 economic impact report. Data centers play a crucial role in supporting the company’s cloud computing services, enabling businesses and individuals to store and process vast amounts of data.
While Amazon has not confirmed specific plans for the Laveen site, the acquisition is part of the company’s ongoing strategy to strengthen its cloud infrastructure across the U.S. The new campus would join a network of data centers that power the company’s cloud services, which are relied on by millions of customers worldwide.
The move is seen as another boon for the Phoenix metro area, which has become a hotspot for data center development due to its affordable land, business-friendly environment, and stable climate. The potential data center campus would contribute to the region’s growing status as a tech hub, while also bringing potential job opportunities and economic growth to Laveen.
As Amazon evaluates its next steps, the land purchase highlights the company’s focus on meeting increasing customer demands through expanded infrastructure investments. Stay tuned for more updates as plans for the site develop.
