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Jassy says AWS can reach $1 trillion revenue, as Amazon keeps 2026 capex near $220 billion

For the vendor-risk lead at a regional bank

Amazon CEO Andy Jassy said on the company's quarterly earnings call on Thursday that AWS can be a trillion-dollar revenue business in the next five to 10 years, and that Amazon still expects 2026 cash capex of approximately $220 billion, the majority for AWS, according to TechCrunch's account of the call.1

Jassy told analysts the spending responds to AI-driven cloud demand, calling it a "once-in-a-lifetime opportunity" that is worth a large commitment now, according to TechCrunch's account of the call.1 He said AWS can grow north of 40% in each of 2027 and 2028, citing new core and AI functionality, enterprises moving core and AI workloads to AWS, and the capacity Amazon adds each year.1

Jassy said Amazon expects 2026 cash capex of approximately $220 billion, the majority for AWS, and expects to spend meaningfully more in 2027; he did not give a 2027 figure in the quoted remarks.1

AWS revenue rose 39% from the year-ago quarter, and Jassy described AWS as a $184 billion annualized revenue run-rate business.12

CIO Dive reported that AWS backlog grew triple digits year over year to $578 billion and included new agreements with Meta, Nvidia, OpenAI, Salesforce and Oracle.2

Amazon shares were down about 6% in after-market trading on Thursday, TechCrunch reported, as analysts pressed Jassy on the spending, growth signals and expected margins.1

Why it matters

Banks buying AI compute from AWS are renting from a provider still building capacity, so early commitments may secure supply and terms while demand outpaces it. Executives should also weigh concentration risk, since Microsoft and Google are spending heavily to serve the same demand.

From the brief

Our take. Amazon plans about $220 billion of capex in 2026 to keep up with AWS demand, and investors sold the stock anyway. Your AI compute runs on that bet. Price the fallback before the landlord prices it for you.

Action. Vendor risk: Test failover of one AI workload to a second cloud provider and confirm contracts cap price changes on reserved capacity.

What our records say

Amazon Bedrock is AWS's managed service for calling foundation models from Amazon, Anthropic, OpenAI, Meta and others through one API, generally available since September 2023 and used by more than 125,000 customers, according to Amazon. Strategy: Amazon Bedrock sells banks pay-per-use access to many foundation models inside the AWS accounts and regions where their data already sits, plus agent infrastructure; banks often reach it through software vendors, such as Fiserv and Nasdaq Verafin, that build on it.1

  1. Amazon Bedrock: AI programme summary (part 1)

From our records

Sources

  1. ReportAWS will be a $1T business, Jassy says — but first, it will spend big | TechCrunch TechCrunch
  2. Also reported byJassy says AWS could hit $1T in revenue in next decade Ciodive