‘AWS is booming’: Amazon lifts AI spending to $220 billion as cloud sales surge

‘AWS is booming’: Amazon lifts AI spending to $220 billion as cloud sales surge

AWS revenue jumped 37% to $42.2B (fastest in 18 quarters) as Amazon raises 2026 capex to $220B for AI infrastructure. Jassy argues most enterprise workloads haven't yet scaled AI inference, pointing to enormous untapped corporate demand ahead. Wall Street rewards AI spending only when it drives cloud growth and cash flow. AWS's $500B backlog and $169B run rate prove demand is materializing; Meta's negative FCF and Microsoft's +16% surge show the market demands proof of returns, not speculation.