- Amazon CEO Andy Jassy said on Oct 23, 2026 that AWS cloud capacity is largely sold out through 2027, with significant commitments extending into 2028, driven by AI infrastructure demand.
- Jassy said Amazon could invest more capital in cloud capacity and that the spending would not be a bad use of capital, since 2026 capacity is already sold out.
- Amazon earlier said it would spend about $220 billion in capital expenditure in 2026.
- Amazon reported Q2 AWS revenue growth of 37%, its fastest pace in 18 quarters, with $16.6 billion in cloud operating income.
- Management guided Q3 operating income to $22.5 billion to $26.5 billion, with the report scheduled for Oct 29.
- AMZN traded at $248.96, down 0.57%, on Oct 23 ahead of earnings as investors focus on returns from AI infrastructure spending.
- The Nasdaq Composite posted a slim loss on Oct 23, a day after its biggest daily drop since June, leaving the AI trade under pressure ahead of a Fed meeting.
Quotes
“2027 is largely sold out”
“A good chunk of 2028 is sold out”