Google has announced a significant investment as part of its expansion in Latin America with the tech giant spending $850 million to build a new data center in Canelones, Uruguay.
The company broke ground on the facility last week, marking its second data center in the region. The company has said the move is aimed at boosting connectivity, supporting local digital skill development, and enhancing access to artificial intelligence technologies across Latin America.
The growth of AI firms and Big Tech’s investment in them in recent years has led to a rise in demand for global data centers to support the need for more cloud storage. The investment is part of Google‘s broader strategy to expand its infrastructure in Latin America. The company’s first data center in the region was established in Chile in 2015.
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Eduardo López, President of Google Cloud for Latin America, said that the company was committed to supporting innovation in the region. “We are creating a data center that allows us to evolve,” he said.
Photo by Michael M. Santiago/Getty Images
“Every time someone runs a query on Search, watches a video on YouTube, looks up directions on Google Maps, or uses Gmail for work or school, there’s a data center behind the scenes making it all possible.
“We live in an era in which digital communication and access to information are foundational to the growth and development of countries and the people who live in them.
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“That’s why we opened a data center in Chile in 2015—to improve the connectivity of our users and the performance of our services. Today, after dedicated planning and analysis, we are taking another step forward with the construction of a second data center in Latin America, this time in Canelones, Uruguay.”
The new data center is being constructed in the Parque de las Ciencias free trade zone in Canelones, a strategic location chosen after what Google described as “dedicated planning and analysis.” The center is expected to enhance the digital ecosystem by providing improved internet speeds, greater reliability, and a foundation for AI advancements.
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Google’s decision to build in Uruguay was influenced by the country’s sustainable energy resources, with 97 percent of its electricity generated from renewable sources.
Construction of the data center is expected to take 26 months and will employ an average of 300 to 400 workers, peaking at around 800 people. Upon completion, the facility will provide approximately 50 permanent jobs.
The center will utilize advanced air cooling systems, a change from the initially proposed water cooling due to environmental concerns about water use amid recent droughts.
The new data center is part of a broader investment strategy that includes building infrastructure such as subsea cables like the Firmina cable connecting the U.S. with Latin America, and cloud regions across the continent. These initiatives are designed to meet the growing demand for cloud services and digital transformation tools.
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