Annual letter: Andy Jassy says AWS' AI revenue has hit a $15B annual run rate as of Q1 and that Amazon's internal chips business is generating $20B+ per year

taking a shot at NvidiaTelecompaper:Amazon CEO defends huge AI investments, confirms Leo launch in mid-2026Wajeeh Khan /Barchart.com:As Amazon Takes on Chipmakers, Should You Buy AMZN Stock Here?Nick Pasion /Seattle Business Journal:Amazon CEO defends company's $200B bet on AI: ‘You have to pursue it’Petr Huřťák /Yahoo Finance:Amazon (AMZN) Stock Trades Up, Here Is WhyAlexandra Tremayne-Pengelly /Observer:Andy Jassy Bets $200B on A.I. to Cement Amazon's Tech DominanceRoberto Torres /CIO Dive:Ama

GeekWire 2026-04-10 Todd Bishop

Discussion

@benbajarin Ben Bajarin on x
I liked the $AMZN shareholder letter. I take point 4 with a grain of salt (trn is largely AWS as a customer and Anthropic). Points 5 and 6 are most important for the “durability” of the cycle debate. https://www.aboutamazon.com/ ...
@downingark Frank Downing on x
Jassy's shareholder letter is making Amazon's return on AI CAPEX even more clear: - Most of the AWS CAPEX for 2026 is already backed by customer commitments - AWS could be growing even faster than 24% with more capacity. Multiple customers have asked to buy all Graviton CPU supp…
@munster_gene Gene Munster on x
Are we in an AI bubble? Andy Jassy gave his take in the $AMZN annual shareholder letter: “I've followed the public debate on whether this technology is over-hyped, whether we're in ‘a bubble,’ and if the margins and ROIC will be appealing. My strong conviction, at least for
@stocksavvyshay Shay Boloor on x
$AMZN is up ~5% after CEO Andy Jassy said two large AWS customers wanted all of Amazon's 2026 Graviton capacity. He also said Amazon's chips business would be running at about $50B annually if it were a standalone business with Trainium4 already sold out before shipping. [image]
@quinnypig Corey Quinn on x
The whole letter—squiggly lines, The Beths, “be bold,” “we've been through this before”—is one beautifully written argument for why shareholders should be cool with FCF dropping from $38B to $11B. Trust me and also here's a cool band.
@stocksavvyshay Shay Boloor on x
The wildest part is that Jassy says $AMZN chip business would be worth ~$50B if sold externally instead of used in-house. For context, $AVGO did $41B in chip revenue over the last year... Amazon has built the only vertically integrated cloud, silicon & AI stack outside $GOOGL. [i…
@quinnypig Corey Quinn on x
Jassy's shareholder letter casually abbreviates Same Day Fulfillment Centers as “SSDs.” This is the man who named Amazon Q. He wasn't promoted away from naming things. He was promoted into more things to name. [image]
@amazonnews @amazonnews on x
Amazon CEO Andy Jassy talks 6 truths surrounding the rise of AI. https://www.aboutamazon.com/ ...
@stockmarketnerd @stockmarketnerd on x
“Two large AWS customers have already asked if they could buy *all* of our Graviton instance capacity in 2026. We can't agree to these requests given other customer needs, but it gives you an idea of the demand.” — $AMZN CEO Andy Jassy Shareholder Letter
@quinnypig Corey Quinn on x
He claims if Amazon's chips business were standalone, it'd have a ~$50B run rate. This is the CEO equivalent of “if my aunt had wheels she'd be a bicycle.” You can't just invent a hypothetical business model to inflate your numbers. Well, @ajassy can. And he did.
@amazonnews @amazonnews on x
Our CEO, Andy Jassy, published his annual Letter to Shareholders today. https://www.aboutamazon.com/ ...
@joecarlsonshow Joseph Carlson on x
Jassy just said all the CAPEX bears are stupid and they don't know what they're talking about. Of course he said it in a nice CEO-talk way. But that's basically what he said. I think he's right and the bears are wrong. I've thought this since the start of this investment
@0xmentalillness @0xmentalillness on x
Some interesting bits from Jassy [image]
@ljkawa Luke Kawa on x
Amazon's most consistent, fundamental corporate strategy, the one that's made the e-commerce/cloud giant into the powerhouse it is today, is also its AI strategy: $AMZN https://www.aboutamazon.com/ ... [image]
@bwnash Brian on bluesky
Oh, look! Only a $200b annual expenditure to generate $15b in revenue. — How fortunate we are to share an era with a true business genius like Jassey! [embedded post]
@wado1 Luther Yungblood on bluesky
So AI revenue is 15b a year — But AI expenses are at least 200b a year — Am I reading that right? Dmh [embedded post]
@edzitron.com Ed Zitron on bluesky
Two years in and $200bn+ capex and you're at $3.75bn a quarter? Fire Andy Jassy! Fire everybody involved in this pointless escapade! This is a terrible business! [embedded post]

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Annual letter: Andy Jassy says AWS' AI revenue has hit a $15B annual run rate as of Q1 and that Amazon's internal chips business is generating $20B+ per year

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