Jassy says AWS could reach $1 trillion in revenue
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Amazon CEO Andy Jassy repeated that AWS could become a $1 trillion annual revenue business within the next five to 10 years. He said Amazon expects approximately $220 billion in cash capital expenditures in 2026 — the majority for AWS — and meaningfully more spending in 2027. The company is betting that demand for cloud infrastructure supporting artificial intelligence will justify the commitment, which Jassy called a “once-in-a-lifetime opportunity.”
AWS revenue grew 39% from the year-ago quarter, reaching a $184 billion annualized revenue run rate. Jassy forecasts 40% growth next year and in 2028, and said enterprise AI adoption is still in its early stages. Investors remained concerned about the spending: Amazon shares fell about 6% in after-hours trading on Thursday, according to TechCrunch.
Why it matters · editorial interpretation
Jassy’s forecast ties AWS’s future growth to hundreds of billions of dollars in capital spending, primarily on AI infrastructure. The negative investor reaction suggests that the scale of this financial commitment is a significant risk, despite recent revenue growth.
Sources
BusinessHardware