AWS Launches Infrastructure Region in APAC, Plans US$5 Billion Thailand Investment

Amazon Web Services, Inc. (AWS), an Amazon.com, Inc. company (NASDAQ: AMZN), recently announced the launch of the AWS Asia Pacific (Thailand) Region. Now, developers, startups, entrepreneurs, and enterprises, as well as government, education, and nonprofit organizations, will have greater choice for running their applications and serving end users from AWS data centers located in Thailand. As part of its long-term commitment, AWS is planning to invest more than $5 billion in Thailand.

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AWS estimates the construction and ongoing operation of the new AWS Region will add approximately $10 billion to Thailand’s gross domestic product (GDP) and support an average of more than 11,000 full-time-equivalent jobs at external businesses annually. These jobs, including construction, facility maintenance, engineering, telecommunications, and others within the country’s broader economy, will be part of the AWS supply chain in Thailand.

“I would like to extend my appreciation to Amazon Web Services for investing in the development of data centers in Thailand,” said Paetongtarn Shinawatra, prime minister of Thailand. “I am pleased that Thailand’s potential and readiness have been recognized by one of the world’s leading companies. I look forward to AWS playing a pivotal role, in partnership with the government, in advancing Thailand toward a more inclusive digital society and expanding access to digital services for all citizens.”

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“We continue to see rapid cloud adoption across Asia Pacific as more customers unlock the full potential of the world’s most extensive, reliable, and secure cloud,” said Prasad Kalyanaraman, vice president of Infrastructure Services at AWS. “This new AWS Region in Thailand will help customers across all industries deploy advanced applications with a broad set of AWS technologies that offer both core cloud capabilities, such as compute, storage, analytics, and networking, and services that enable customers to rapidly evolve, such as artificial intelligence and machine learning. With today’s launch, AWS is proud to support Thailand’s digital transformation and help accelerate its role as a regional hub for artificial intelligence.”

With the launch of the AWS Asia Pacific (Thailand) Region, AWS has 111 Availability Zones across 35 geographic regions, with announced plans to launch 15 more Availability Zones and five more AWS Regions in Mexico, New Zealand, the Kingdom of Saudi Arabia, Taiwan, and the AWS European Sovereign Cloud. AWS Regions are composed of Availability Zones that place infrastructure in separate and distinct geographic locations. The AWS Asia Pacific (Thailand) Region consists of three Availability Zones located far enough from each other to support customers’ business continuity, but near enough to provide low latency for high availability applications that use multiple Availability Zones. Each Availability Zone has independent power, cooling, and physical security, and is connected through redundant, ultra-low-latency networks. AWS customers focused on high availability can design their applications to run in multiple Availability Zones to achieve even greater fault tolerance.

AWS offers a portfolio of cloud services, including analytics, compute, database, IoT, generative AI, machine learning, mobile services, and storage. Customers from startups and enterprises to public sector organizations and nonprofits will be able to use advanced technologies from AWS to drive innovation, meet data residency preferences, achieve lower latency, and serve demand for cloud services in Thailand and across Asia Pacific.

Organizations across ASEAN and in Thailand are among the millions of active customers using AWS in more than 190 countries around the world. Enterprises in Thailand choose AWS to innovate, drive cost efficiencies, and accelerate time to market. Thai customers using AWS include 2C2P, Ascend Money, Bank of Ayudhya, Charoen Pokphand Group (CP Group), and KASIKORN Business-Technology Group. Thailand public sector customers use AWS to help drive cost savings and better serve local citizens. These customers include Big Data Institute (BDI), Digital Government Development Agency, the Center of Excellence in Digital and AI for Mental Health (AIMET), and the Stock Exchange of Thailand (SET). Thai startups and small businesses, including BODA Technology & Consultancy, BOTNOI Group, Flow Account, Pomelo Fashion, and Sunday Technology, are building on AWS to rapidly scale nationally in the Asia Pacific region and around the world.

Bank of Ayudhya Public Company Limited, one of Thailand’s top banks, relies on AWS to address specific challenges such as enhancing customer experience, improving financial accessibility, and optimizing operational efficiency. The bank utilizes AWS cloud services, including data analytics, machine learning, and AI, to innovate and streamline processes. “As our strategic cloud provider, AWS plays a critical role in driving the Krungsri cloud program, which serves more than 12 million people. With a local Thailand Region, this will expand the Krungsri and AWS partnership tremendously and will significantly expand the possibilities,” said Pochara Vanaratseath, head of IT, Bank of Ayudhya Public Company Limited.

The AWS Partner Network (APN) includes tens of thousands of independent software vendors (ISVs) and systems integrators (SIs) around the world. AWS Partners build innovative solutions and services on AWS, and the APN helps by providing business, technical, marketing, and go-to-market support to customers. AWS ISVs, technology partners, SIs, and consulting partners help enterprise and public sector customers migrate to AWS, deploy mission-critical applications, and provide a full range of monitoring, automation, and management services for customers’ cloud environments. AWS Partners in Thailand include Com7, Dailitech, Dakok, Deloitte, Fujitsu, G-Able, Inteltion, Metro Systems, MFEC, NTT DATA, SiS Distribution, SoftwareOne, True IDC, and Yip in Tsoi & Co., Ltd.

The new AWS Asia Pacific (Thailand) Region is the latest in AWS’s ongoing investments in Thailand to provide customers with advanced and secure cloud services, along with skilling, training, and community engagement programs. Since 2020, AWS has launched six Amazon CloudFront edge locations in Thailand, which accelerate the delivery of data, videos, applications, and APIs to users worldwide with low latency and high transfer speeds. In 2020, AWS launched AWS Outposts in Thailand to deliver AWS infrastructure and services to virtually any on-premises or edge location for a truly consistent hybrid experience. In 2022, AWS deepened its investment in Thailand with the launch of AWS Local Zones in Bangkok. AWS Local Zones are a type of AWS infrastructure deployment that place compute, storage, database, and other select services closer to large populations and industry centers, enabling customers to deliver applications that require single-digit millisecond latency to end users.

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Since 2017, AWS has trained more than 50,000 individuals in Thailand in cloud skills. AWS continues to invest in upskilling developers, students, and the next generation of IT leaders in Thailand with sought-after cloud skills through AWS Skills to Jobs Tech Alliance and AWS Training & Certification programs like AWS Academy. AWS also launched the “Tech for Digital Future” program in Thailand to provide basic cloud computing skills to high school and vocational students about cloud fundamentals in Thai. AWS Academy provides higher education institutions around the world with a free, ready-to-teach cloud computing curriculum that prepares students for industry-recognized AWS Certifications and in-demand cloud jobs. AWS Academy currently runs courses in more than 30 universities in Thailand, including Chulalongkorn University, King Mongkut’s Institute of Technology Ladkrabang, Mahidol University, Siam University, and Sukhothai Thammathirat Open University, that cover cloud foundations, cloud architecting, cloud operations, cloud developing, and data engineering, as well as specialty certifications related to machine learning, cyber security, and other domains. Since the program launched, more than one million students have been trained by the AWS Academy globally.

Amazon is committed to becoming a more sustainable business and reaching net-zero carbon across its operations by 2040, 10 years ahead of the Paris Agreement, as part of The Climate Pledge. Amazon co-founded The Climate Pledge and became its first signatory in 2019.

AWS is constantly working on ways to increase the energy efficiency of its data centers—optimizing data center design, investing in purpose-built chips, and innovating with new cooling technologies. A report by Accenture, commissioned by AWS, estimates AWS’s infrastructure is up to 4.1 times more efficient than on-premises, and when workloads are optimized on AWS, the associated carbon footprint can be reduced by up to 99%. With the new AWS Asia Pacific (Thailand) Region, customers will also benefit from AWS’s sustainability efforts across its infrastructure.

What this means for ERP Insiders

APAC region attracting investment from all cloud services leaders. The Asia Pacific cloud ERP market was valued at approximately US$6.78 billion in 2022 and is projected to reach US$28.84 billion by 2030. Eyeing this demand trend, in January 2025, Microsoft announced a US$3 billion investment to enhance its Azure cloud and AI capacities in India over the next two years, emphasizing India’s role as a key growth market for technology. In addition to the new Thailand center, AWS has made a US$12.7 billion commitment in India by 2030 and plans to establish a new infrastructure region in Taiwan by early 2025 to meet the high demand for cloud services. In October 2024, Oracle announced plans to invest over US$6.5 billion to establish its first public cloud region in Malaysia, marking a significant investment in Southeast Asia. And Google has pledged US$2 billion for a hyperscale data center and a new Google Cloud region in Malaysia, aiming to contribute over US$3 billion to Malaysia’s GDP by 2030 and create 26,500 jobs.

Top-of-mind criteria when evaluating APAC hyperscalers and cloud services partners. APAC-based companies and their cloud ERP providers should select hyperscaler and cloud services partners that align with their operational, compliance, and strategic goals while addressing the unique challenges of the APAC market. Companies should ensure the hyperscaler has a strong presence in APAC with local data centers to minimize latency and meet performance needs. Also, evaluate the ability to comply with data sovereignty and privacy laws, such as China’s Cybersecurity Law or Singapore’s PDPA. And ensure the availability of services across multiple countries in the region for businesses with a cross-border footprint. Companies should check for pre-built connectors and compatibility with cloud ERP systems (e.g., SAP S/4HANA, Oracle Cloud ERP) and for support for efficient migration of ERP workloads with minimal disruption. Also, evaluate tools for monitoring and optimizing cloud spending, such as AWS Cost Explorer or Azure Cost Management. Ensure advanced security features like encryption, multi-factor authentication, and AI-driven threat detection. Also verify certifications like ISO 27001, SOC 2, or GDPR, as well as region-specific standards like IRAP (Australia) or MeitY (India). APAC companies should ensure the cloud services provider’s ability to work seamlessly with other cloud providers for multi-cloud or hybrid cloud strategies, along with support for on-premise and cloud ERP workloads in hybrid environments.

Lessons from other developing regional cloud computing hubs. Thailand and other emerging technology hubs in the APAC region can learn from other countries that have similarly emerged in recent years. India’s rise as a technology hub highlights the importance of a robust digital ecosystem. Initiatives like “Digital India” promoted e-governance, digital payments, and internet penetration. Other governments in APAC can replicate similar policies, focusing on widespread internet access, affordable connectivity, and cloud-focused digital transformation. In the Middle East, collaboration between governments and private cloud providers (e.g., AWS, Microsoft) accelerated the deployment of cloud regions. Partnerships with hyperscalers and local cloud providers can boost infrastructure development and align with regional needs like data sovereignty. African technology hubs, such as Kenya’s Silicon Savannah, invested heavily in tech education and partnerships with global tech leaders. The European Union’s GDPR set a global standard for data protection, influencing cloud adoption by emphasizing compliance. With varying regulatory landscapes, APAC countries must ensure cloud services comply with local laws while enabling cross-border operations. Scandinavia’s cloud computing market is known for green data centers powered by renewable energy. For APAC public and private entities, adopting renewable energy for data centers and cloud regions can address environmental concerns and attract sustainability-focused enterprises. North America’s cloud adoption is characterized by multi-cloud strategies to ensure vendor independence and resilience. APAC businesses should prioritize multi-cloud and hybrid cloud adoption to optimize costs, improve redundancy, and meet diverse operational needs. Brazil’s booming tech sector benefited from targeted cloud investments in underserved regions, reducing latency and costs. In APAC, cloud providers can focus on underserved regions, such as smaller cities and rural areas, unlocking untapped growth potential. Israel became a global innovation hub by fostering a start-up ecosystem supported by cloud technology. APAC governments and enterprises can nurture innovation hubs with incentives for start-ups and access to advanced cloud platforms. Southeast Asia, including Indonesia and Vietnam, has mirrored Africa’s investments in improved network infrastructure to support cloud adoption. Addressing gaps in broadband and data center networks is critical for scalable cloud operations in remote and rural areas across APAC. China’s cloud leaders, such as Alibaba Cloud, grew by offering low-cost, high-performance cloud solutions tailored to local markets. Tailoring pricing and services for local APAC businesses can accelerate adoption among SMEs and emerging industries.