Amazon AWS: Amazon Receives $4.7bn In Subsidies From Global Governments For The Development of Facilities

Feb 10, 2022 | Posted by Abdul-Rahman Oladimeji

According to Good Jobs First, Amazon has received at least $4.7 billion in federal and state subsidies over the past decade around the world. The subsidies support the development of warehouses, call centers, data centers, offices, and film production projects. The watchdog group compiled data from company statements, investor reports, government marketing materials, and public records for this report. Good Jobs First also noted that the total figure of subsidies Amazon received is unequivocally significantly higher due to poor disclosure culture in most countries. 

Interestingly, Amazon received known subsidies of up to $4.1 billion for US projects. Despite this, Good Jobs First believes that the $4.1 billion figure is still understated as subsidies for about nine projects are still undisclosed. In addition, many states in the US are not revealing the utility-tax exemptions which AWS data centers get. For overseas projects, Amazon received subsidies totaling $180 million to develop a data center in Sao Paulo, Brazil. It also received C$325.6 million (US$262.6m) for the development of a data center in Montréal, Québec, Canada.

According to the report, evidence points to Amazon receiving subsidies for up to 407 facilities in 13 countries. However, the exact figure is not known. Amazon commented on the development. It said the report was misleading, and it comes from a self-interested outlet. However, Amazon did not deny or dispute the figures portrayed in the report.