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Amazon expands in Bengaluru with new office lease of over 1.1 million square feet

#Top Stories#India#Karnataka#Bangalore
Last Updated : 20th Jun, 2024
Synopsis

Amazon is significantly expanding its presence in Bengaluru, leasing over 1.1 million square feet of office space from Sattva Group. Located at Sattva Horizon business park near Bengaluru International Airport, the new 11-story building will accommodate over 7,000 employees and be operational by mid-2025. This lease follows Amazon's other major property deals in India, securing over 1.45 million square feet across Bengaluru, Gurugram, and Hyderabad. Additionally, Amazon Web Services plans a USD 12.7 billion investment in Indian cloud infrastructure by 2030, emphasizing the company's long-term commitment to India's digital and economic growth.

Amazon is significantly expanding its presence in Bengaluru with a new lease for over 1.1 million square feet of office space from Sattva Group. This latest development comes alongside Amazon's other investments in India, highlighting the company's long-term commitment to the Indian market.


The new office will be located at Sattva Horizon business park, situated near the Bengaluru International Airport. Sattva Group has constructed a brand new 11-story building specifically for Amazon, with the capacity to accommodate over 7,000 employees. The first phase of this facility is expected to be operational by mid-2025.

This lease follows three other major property deals by Amazon in India, securing a total of more than 1.45 million square feet across Bengaluru, Gurugram, and Hyderabad. These spaces will house various Amazon operations, including web services, development centers, seller services, and transportation services.

Initially, Amazon had slowed down its expansion plans due to the widespread adoption of hybrid work models. However, this latest lease suggests a renewed focus on dedicated office space to support the company's growing operations. Reports indicate Amazon is also seeking additional space in Hyderabad and Chennai.

Amazon's commitment to India extends far beyond office space. .In May 2023, Amazon Web Services (AWS) announced plans to invest USD 12.7 billion in Indian cloud infrastructure by 2030. This investment will focus on building data centers to meet the increasing demand for cloud services in India. AWS already has a significant presence with existing data centers in Mumbai and Hyderabad.

Amazon has invested in the Indian startup ecosystem through its venture fund, Amazon Smbhav Venture Fund. Launched in 2021 with a corpus of USD 250 million, the fund focuses on technology-led startups working in areas like e-commerce services, digital healthcare (growing market estimated at USD 180 billion by 2025), and artificial intelligence. Investments include FreshtoHome (e-commerce grocery), Fitterfly (personalized wellness platform), and M1xchange (logistics startup). Amazon is committed to sustainability in India. The company has invested in 50 wind and solar farms across the country, generating an estimated USD 349 million (INR 2,885 crore) in economic investment for Indian communities between 2014-2022.

These investments, along with the recent office space lease, showcase Amazon's multi-pronged approach to the Indian market. The company is not only building a strong physical presence but also investing in the country's digital infrastructure, fostering innovation through startup investments, and promoting sustainability initiatives. This comprehensive strategy positions Amazon to be a major player in India's economic growth for years to come.

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