Pennsylvania Gov. Shapiro Announces $20B AI Deal with Amazon

Amazon headquarters located in Silicon Valley

Photo: Sundry Photography / iStock Editorial / Getty Images

Pennsylvania Governor Josh Shapiro announced a groundbreaking $20 billion deal with Amazon to establish state-of-the-art data center campuses focused on cloud computing and artificial intelligence. The investment marks the largest capital investment in Pennsylvania's history, with initial campuses planned for Luzerne and Bucks Counties.

The new facilities will create at least 1,250 permanent jobs and thousands of construction roles. The campuses will serve as crucial infrastructure for AI and cloud technologies, ensuring the United States remains a leader in global technology innovation.

Governor Shapiro emphasized the economic benefits, noting that the project will generate significant tax revenue for local communities. He stated, "Our schools and our police departments, our local communities, will benefit from the millions of dollars in new tax revenue that will be brought in from this investment."

Amazon plans to partner with local institutions to expand AI education and workforce training programs. However, some concerns have been raised about the energy demands of the new data centers, which could strain electricity supplies in the Delaware Valley.

Despite these concerns, the investment is seen as a significant win for Pennsylvania, with U.S. Senator Dave McCormick calling it a "huge victory." The deal is part of a broader trend, as other tech giants like Google and Oracle are also investing heavily in AI infrastructure.

Construction Dive notes that Amazon's investment comes amid a turbulent construction climate, where data centers are a growing focus. The new campuses will join Amazon's existing operations in Pennsylvania, which include 23 fulfillment centers and 20 delivery stations.


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