AWS aiming for $1 trillion revenue, jassy commits to major investments

During Amazon’s quarterly earnings call on October 29, 2026, Andy Jassy, CEO of Amazon, reiterated the company’s ambition to make AWS a $1 trillion revenue business. He emphasized that the cloud division’s growth is driven by the AI boom, with AWS revenue increasing 39% year-over-year, marking six consecutive quarters of steady growth. Jassy forecasted a 40% growth in 2027 and 2028, projecting AWS to reach a trillion-dollar revenue run-rate within five to ten years. To support this expansion, Amazon plans to spend approximately $220 billion in 2026 on capital expenditures, with significant increases expected in 2027. Jassy described the AI-driven cloud demand as a 'once in a lifetime opportunity' requiring substantial investment. Despite the optimism, investor concerns led to a 6% drop in Amazon’s shares after the call. Other cloud providers, such as Microsoft, are also investing heavily in AI infrastructure, reflecting the industry-wide shift toward AI-driven growth.