Amazon has announced its plans to more than double its investment in India, reaching a total of $26 billion by 2030. This move solidifies the e-commerce giant’s commitment to one of the largest technology markets in the world.
During a meeting with Indian Prime Minister Narendra Modi, Amazon’s CEO, Andy Jassy, revealed that the company will invest an additional $15 billion over the next seven years, on top of the initial $11 billion investment. The purpose of this expanded investment is to bolster various sectors in India’s thriving economy.
The meeting between Mr. Modi and Amazon’s CEO was part of the Indian Prime Minister’s visit to Washington, where he engaged with top government officials and industry leaders to showcase India’s manufacturing and economic potential.
On Twitter, Jassy referred to the meeting as “productive” and highlighted Amazon’s commitment to investing $26 billion in India by 2030. He emphasized that this collaboration would support startups, job creation, exports, and empower individuals and small businesses to compete on a global scale.
India has become a tech hub, attracting entrepreneurs who capitalize on the digital services relied upon by its population of over 1.4 billion people. Many technology companies have recognized the opportunities presented by India and have established their presence in the country. In fiscal year 2022, India’s manufacturing exports reached an unprecedented $418 billion, a growth of over 40% compared to the previous year’s $90 billion, according to data from the India Brand Equity Foundation (IBEF). The IBEF also projects that the electronics manufacturing sector alone will be worth $300 billion by 2030.
Apple, for example, has recently opened its first retail stores in India, tapping into a retail market with significant growth potential and a promising manufacturing base. The company has also started manufacturing its iPhone 14 model in Chennai, shifting some production from China and contributing to the Modi government’s “Make in India” campaign.
Walmart, Amazon’s main competitor in India, has also announced its investment plans, with $2.5 billion earmarked for tapping into the country’s booming retail and e-commerce sectors.
Moreover, during a separate meeting with Mr. Modi, Sam Altman, CEO of OpenAI, expressed confidence in the pivotal role that artificial intelligence will play in India’s technology and economic sectors. These developments highlight India’s attractiveness as a destination for investments and collaborations, positioning it as a key player in the global technology landscape.