The five-year commitment is 2.4x larger than Snowflake’s 2023 AWS deal and lands as shares jump 38% on a Q1 earnings beat. The Graviton component is the part that matters strategically.
Snowflake has signed a five-year, $6bn commitment to Amazon Web Services in what both companies are framing as the largest expansion of their 11-year relationship to date.
The agreement, announced on Tuesday, includes commitments to run on AWS Graviton, the cloud provider’s custom Arm-based CPU line, and to develop deeper product integrations for what Snowflake is now describing as “agentic enterprise” workloads.
The trajectory of Snowflake’s AWS spending is the part that frames the size of the announcement. The company committed $1.2bn at its 2020 IPO. That figure rose to $2.5bn in a 2023 renewal.
The new $6bn agreement is roughly five times the 2020 commitment and 2.4 times the 2023 one.
