Hilly area on the northern outskirts of Santiago where the data center is planned to be built.

Amazon to Build Data Center in Chile After Residents Lose Environmental Dispute

11.05.2026
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Residents of northern Santiago have lost their legal battle against Amazon Web Services (AWS). They had tried to stop the construction of a major data center, which they believe threatens a green area at the foot of the Andes. However, Chilean environmental authorities ruled in early April that the project could move forward, stating that issues related to the high-voltage transmission line would be addressed separately.

Patricio Hernández, one of the local residents, looks with concern at the hillside where construction is planned. “This is a green space, a place for recreation and community,” he says while walking along trails near a stream. He fears that the data center and related infrastructure will destroy the area’s familiar way of life.

AWS, for its part, says the facility will be designed for maximum resource efficiency, using technologies that minimize energy and water consumption. The company has already invested billions of dollars in Chile and plans to create its third major hub in Latin America after Brazil and Mexico. Total investment over 15 years is expected to exceed $4 billion.

Chile’s new president, José Antonio Kast, who supports reducing bureaucratic barriers, together with the country’s advanced fiber-optic infrastructure, has made Santiago an attractive location for data centers. “Chile is becoming a magnet for this industry,” says urban sustainability specialist Sebastián Díaz, while warning that both the country and the region must balance investment with the protection of people and nature.

AWS expects the Santiago complex, located about 8 kilometers from the city center, to operate for around 30 years. It will join thousands of similar facilities worldwide. For Hernández, however, the construction of the data center and its associated infrastructure could dramatically change everyday life. “We wake up every day and see this green hill that gives us a little joy amid the grayness of the city,” he says.

The dispute between the technology giant and the local community reflects a broader global dilemma: how to balance the development of digital infrastructure with environmental protection and quality of life.

Source: Reuters

Image: Reuters

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Yulia Frolova
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