Amazon Scraps Auckland Data Centre and Records $44.9 Million Loss

Amazon Data Services New Zealand Ltd recorded a $44.9 million impairment in 2025 after abandoning its plans to develop a hyperscale data centre in Westgate, Auckland. The decision resulted in a pre-tax loss of $36 million for the fiscal year ending December 31, 2025.

The project, first announced in 2021, was originally expected to create 1,000 jobs and contribute $10.8 billion to the local economy over 15 years. Following the cancellation, the company shifted its strategy toward a lease-and-equip model, focusing investments on servers, networking gear, and leasing capacity in existing data centres.

Financial filings indicate that assets under construction dropped to zero, while equipment values rose to over $250 million and lease assets increased to approximately $285 million during the 2025 period. Although the company decided not to proceed with the development, it continues to own the Westgate site.