Amazon Cloud Growth Surges on AI Demand

Amazon reported its fastest cloud growth since 2021, with AWS revenue jumping 37 percent to $42.2 billion as AI demand fueled a massive surge in capital spending.

CEO Andy Jassy said the company plans to spend $220 billion this year and still won’t have enough capacity to meet demand.

The results, alongside strong earnings from Microsoft, provided fresh evidence that demand for chips and data-center equipment will remain robust.

Amazon’s overall revenue topped $200 billion as its AI bet began to pay off in a big way.