In response to increasing customer demand for local data residency, Amazon Web Services (AWS) is set to open new cloud regions in Southeast Asia. Werner Vogels, the Chief Technology Officer of Amazon, highlighted the importance of meeting customer needs for secure data storage in their own countries.
Vogels emphasized that customers, ranging from startups to government agencies, have been seeking local data residency to comply with regulations and protect personal identifiable information. “And for them, it’s important to have these kinds of technologies on the ground, in [the] country to make sure that they can serve their customers best or their citizens best,” said Vogels in an exclusive interview with CNBC.
According to a report from Canalys, AWS maintained its position as the world’s largest cloud service provider, capturing 31% of total cloud spending in the fourth quarter.
AWS regions are physical locations consisting of clustered data centers, each with multiple availability zones ensuring redundancy and low-latency connectivity. Vogels stressed that the expansion is not only driven by startups but also by big enterprises and government agencies undergoing digital transformation.
In November, Amazon announced plans to launch a new AWS Region in Malaysia, investing 25.5 billion Malaysian ringgit ($6 billion) by 2037 to support the country’s digital economy goals. This move follows the recent opening of cloud regions in Indonesia and Singapore, with plans underway for an infrastructure region in Thailand.
“This new AWS Region will also enable customers with data residency preferences to store data securely in Malaysia, help customers to achieve even lower latency, and serve demand for cloud services across Southeast Asia,” said Amazon in a statement.
With security as a top priority, Vogels emphasized AWS’s commitment to protecting customers’ data. “Especially the security capabilities that AWS has, that allows us to protect these customers. Security, will be, and is forever, our number one priority,” Vogels added.
The expansion of AWS regions across Southeast Asia is expected to further bolster cloud adoption in the region, catering to the increasing demand for secure and reliable cloud services.
