Latin America’s datacentre gold rush comes with some big risks

(Image: Getty)

Sat, 21 Jun 2025

By Juan Pablo SpinettoThe region is capturing unprecedented investments for the construction of datacentres, the physical facilities that house servers, networks and data storage units to run applications and other digital services. Despite its political and economic upheavals, Latin America offers important advantages for these capital-intensive projects, including abundant renewable energy and natural resources such as metals and rare earths, a skilled local workforce and, in some cases, favourable jurisdictions or even tax incentives.As...

Subscribe to BusinessDesk

Stay informed on business, government and financial developments across New Zealand.

Deeply researched, twice-edited and fact-checked news
Annual subscribers also receive a complimentary subscription to The Wall Street Journal
Personalised email news alerts, plus gift up to 5 stories a month to non-subscribers

You can cancel anytime with two clicks, an email or a phone call.
Find out more.

We are serious about journalism.

Already a Subscriber ? Sign in here.

Name {{ registerForm.errors.get('name') }}

Email address {{ registerForm.errors.get('email') }}

Phone Number {{ registerForm.errors.get('phone') }}

Job Title {{ registerForm.errors.get('title') }}

Password Minimum password length of 8 characters.
Require at least one upper and lowercase, numeric, and special character. {{ registerForm.errors.get('password') }}

Repeat password {{ registerForm.errors.get('password_confirmation') }}

We had trouble validating your card. It's possible your card provider is preventing us from charging the card. Please contact your card provider or customer support.

Credit Card

Cardholder's name

{{ __(plans[index].name) | capitalize }} {{ plans[index].attributes.old_price | currency }} {{ plans[index].price | currency }}

All subscriptions auto renew but are easy to cancel.

I Accept The Terms Of Service

{{ registerForm.errors.get('terms') }}

Tax: {{ taxAmount(selectedPlan) | currency }}

Total Price Including Tax: {{ priceWithTax(selectedPlan) | currency }} {{ selectedPlan.type == 'user' && spark.chargesUsersPerSeat ? '/ '+ spark.seatName : '' }} {{ selectedPlan.type == 'user' && spark.chargesUsersPerTeam ? '/ '+ __('teams.team') : '' }} / {{ __(selectedPlan.interval) | capitalize }}

Markets Market Close

NZ sharemarket up 0.4%; Hallenstein CEO resigns

The S&P/NZX 50 Index closed at 13,133.16, up 62.71 points or 0.48%.

Graham Skellern 6:10pm

Retail

Smiths City placed in voluntary administration

All nine Smiths City stores and online shop have been temporarily closed.

Staff reporters 10:45am

Smiths City placed in voluntary administration

Infrastructure

A year late, but AWS $7.5b investment is here

Amazon's $7.5b datacentre investment originally announced in 2021 is here.

Dileepa Fonseka 10:00am

A year late, but AWS $7.5b investment is here

Sponsored

Bold Steps: reshaping women’s leadership in Aotearoa

Dame Therese Walsh and Dame Joan Withers reflect on the summit’s unlikely beginnings – and how it has evolved into a platform for ambition and impact today.

OnBeingBold

Sponsored