AWS Intensifies Efforts to Maintain Middle East Services After Drone Strikes, CEO Reports

• The Islamic Revolutionary Guard Corps' Navy claimed responsibility for targeting Amazon data center infrastructure in Bahrain
• Dozens of AWS services in Bahrain and UAE continue to be unavailable according to the company's status page
• Restrictions on movement through the Strait of Hormuz have driven up helium prices, a critical semiconductor manufacturing ingredient, as Qatar produces over one-third of global helium supply

Summary

Key Development: Amazon Web Services (AWS) is working around the clock to maintain cloud infrastructure operations in the Middle East following drone strikes on its data centers in Bahrain and the United Arab Emirates in early March. AWS CEO Matt Garman confirmed the ongoing challenges at the HumanX conference in San Francisco.

Current Status: Dozens of AWS services in Bahrain and UAE remain unavailable, according to the company's status page. The Islamic Revolutionary Guard Corps' Navy claimed responsibility for targeting Amazon data center infrastructure in Bahrain.

Market Impact: The conflict has created significant disruptions beyond AWS. Energy costs for data centers, particularly those housing AI chips, have increased since the conflict began in February. The restricted movement through the Strait of Hormuz has driven up helium prices—a critical semiconductor manufacturing component. Qatar, located west of the strait, produces over one-third of global helium supply.

Geopolitical Context: President Trump threatened attacks on Iranian civilian infrastructure if the Islamic Republic fails to reopen the Strait of Hormuz, adding to regional tensions.

Industry Implications: AWS is the world's leading cloud infrastructure provider, with competitors including Microsoft, Google, and Oracle also expanding data center operations globally. Garman noted the disruption affects entire supply chains across industries, not just technology.

Future Outlook: Despite current challenges, Garman expressed optimism about the Middle East's "fantastic entrepreneurial spirit" and confirmed AWS's commitment to long-term investment in the region remains unchanged.