Amazon Cloud AI Revenue Run Rate Tops 15 Billion Dollars

AMAZON.COM INC reported on Thursday that its cloud division's artificial intelligence revenue run rate has exceeded $15 billion for the first quarter of 2026. This disclosure represents the first time the company has provided specific financial metrics regarding the direct returns from its AI development efforts.

In an annual letter to shareholders, CEO Andy Jassy emphasized that the momentum behind these figures is accelerating. He noted that while growth is strong, the cloud business could potentially be expanding at a higher rate if not for industry-wide capacity constraints currently limiting supply.

The numbers are also ascending rapidly, Amazon CEO Andy Jassy said in a letter to shareholders, adding that its cloud business as a whole would be growing even faster without the capacity constraints that the tech industry is currently facing.

The company's custom silicon division is also showing significant financial performance. The annual revenue run rate for Amazon's specialized chips, which include the Graviton and Trainium processors, has climbed above $20 billion. This figure marks a doubling of the $10 billion milestone the firm reached earlier this year.

Looking ahead, Jassy suggested that the high demand for this hardware might lead to new business models for the cloud provider.

There’s so much demand for our chips that it’s quite possible we’ll sell racks of them to third parties in the future, Jassy added.

The rapid scaling of both AI services and hardware infrastructure underscores the company's aggressive positioning in the competitive cloud and semiconductor landscapes.