Microsoft has announced plans to invest €6.69 billion ($7.16 billion) in developing new data centres in Spain’s north-eastern region of Aragon, aiming to transform Aragon into a major cloud computing hub within Europe.
The regional government of Aragon confirmed that the U.S. tech giant has applied for a construction permit to build data centres on a site outside the city of Zaragoza. This information corroborates a recent report by the local newspaper, El Heraldo. The investment will be distributed over a span of ten years.
Aragon is also attracting interest from Microsoft’s main competitor, Amazon’s cloud computing division, AWS. Last month, Amazon announced a €15.7 billion investment over the next decade to establish data centres in the region, which will be powered entirely by renewable energy. The Aragon region’s substantial wind power capacity supports these sustainability efforts.
Zaragoza, Spain’s fifth-largest city, is strategically positioned as a logistics and transportation hub. Located midway between Madrid and Barcelona, it sits at the heart of the main trade corridor connecting the Iberian Peninsula to France and the rest of Europe.
This announcement follows Microsoft’s recent commitment to invest €2.1 billion in data centres in Madrid.