AWS Expands EU Sovereign Cloud, Secures 30,000 Tonnes of Copper

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AWS struck a two-year deal with Rio Tinto to secure 30,000 tonnes of Nuton bioleached copper for U.S. data centers, reducing copper’s carbon footprint by 60%. It will expand its sovereign cloud into Belgium, the Netherlands and Portugal to meet EU data-residency requirements.

1. Nigeria Awards Seven‐Year Permit to Amazon’s Kuiper Systems

Nigeria’s National Communications Commission has granted a seven‐year satellite permit to Amazon’s Project Kuiper, joining three other operators cleared to offer space‐based broadband in the country. Kuiper will deploy a constellation of low‐Earth‐orbit satellites to serve unconnected regions, a strategic move that positions Amazon to capture a share of Nigeria’s estimated 60-million addressable internet‐user market. The regulator specified coverage obligations, including minimum service levels of 50 Mbps downlink speeds and 20 Mbps uplink speeds for rural communities, with a rollout deadline within 36 months.

2. AWS Expands ‘Sovereign Cloud’ Footprint in Europe

Amazon Web Services (AWS) announced plans to extend its sovereign‐cloud infrastructure into Belgium, the Netherlands and Portugal, supplementing its existing site in eastern Germany. The initiative targets public‐sector and regulated industries requiring data storage and processing within EU jurisdictions under local governance policies. AWS has committed to investing approximately $5 billion over the next three years in these regions, promising customers full operational independence and compliance with the EU’s Digital Markets Act and revised GDPR provisions.

3. Amazon’s Scale and Profitability Lags Mega‐Cap Peers

In fiscal 2025, Amazon reported consolidated revenues of $670 billion but delivered an operating margin of 11.4% and a free‐cash‐flow margin of 2.0%, trailing high‐margin software and digital‐advertising peers. Over the last 12 months, Amazon’s total ad‐revenue segment grew by 28%, yet its overall profitability remains pressured by aggressive logistics and data‐center investments. Analysts highlight that Amazon must improve efficiency in its fulfilment network—currently operating more than 1,200 facilities—and extract higher returns from its $80-plus-billion annual capex to close the gap with competitors boasting operating margins above 20%.

4. Amazon Secures Domestic Copper Supply for Data Centers

AWS has entered a two‐year strategic agreement with Rio Tinto to procure up to 30,000 tonnes of bioleached copper from the Johnson Camp mine in Arizona. This marks the first industrial‐scale deployment of Rio Tinto’s Nuton bioleaching technology, which lowers copper’s carbon footprint by 60% and water usage by 80%. Amazon’s deal includes providing cloud analytics to optimize heap‐leach operations, reinforcing AWS’s commitment to achieve net‐zero carbon by 2040. Securing a domestic, low-cost copper source addresses projected global shortages and supports AWS’s planned data-center expansion to meet rising AI and cloud‐computing demand.

Sources

FPTMI
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