Iranian drones damaged AWS data centers in UAE and Bahrain on March 1, 2026, disrupting global services and prompting tech firms to shift AI infrastructure investments away from the Middle East.

On March 1, 2026, Iranian drone strikes damaged three Amazon Web Services data centers in the UAE and Bahrain, marking the first known military attacks on AI-focused data infrastructure. The Islamic Revolutionary Guard Corps cited the facilities' support of U.S. military and intelligence operations as justification. The attacks caused widespread regional and global cloud service disruptions, affecting banks, payment systems, and ride-hailing platforms. Amazon advised clients to relocate data out of the region, highlighting the growing vulnerability of data centers in conflict zones. With ongoing instability in the Middle East and legal precedents holding providers liable for war-related outages, tech companies are expected to pause investments in the region through 2026, shifting AI infrastructure development to safer areas like southeastern Europe and India, potentially altering global AI growth patterns.