Amazon has announced a groundbreaking $5 billion investment to establish advanced AI data centers in South Korea by 2031, marking the largest direct foreign investment in the country’s history. The commitment was revealed by Matt Garman, head of Amazon Web Services (AWS), during a meeting with South Korean President Lee Jae Myung on the sidelines of the Asia-Pacific Economic Cooperation (APEC) summit in Gyeongju. The new facilities will be located in the Incheon and Gyeonggi regions, near Seoul, and are expected to significantly bolster South Korea’s AI ecosystem. This investment surpasses Amazon’s previous $4 billion pledge in June for an AI data center in Ulsan. President Lee emphasized the government’s ambition to position South Korea among the world’s top three AI powerhouses, stating that Amazon’s investment will accelerate the nation’s AI development. South Korea, home to global memory chip leaders Samsung Electronics and SK hynix, plays a pivotal role in supplying essential components for AI products and data centers. This move underscores Amazon’s strategic focus on expanding its AI infrastructure in key global markets.