Microsoft, Amazon (AWS), and Google are reportedly accelerating plans to move production and data centres away from China. Microsoft aims to manufacture the majority of its new hardware outside of China by 2026, including Surface laptops and data centre servers. The company has already shifted a significant portion of its server output and is targeting 80% of related materials to originate outside China.
AWS is also seeking to diversify its supply chain by reducing reliance on Chinese suppliers, particularly for sensitive AI server components. Google is expanding its server production in Thailand, establishing a new ecosystem for parts, components and assembly.
These shifts reflect a broader strategy among US tech firms to mitigate geopolitical risks and potential supply disruptions. The companies are hedging against increasing Washington-Beijing tensions and export controls.
