Amazon Spends $200 Billion on AI Amid Cloud Competition | PYMNTS.com

This effort is being launched as part of a strategic reset due to fears that Amazon’s cloud business, AWS, is losing out to rivals in landing corporate artificial intelligence contracts, the Financial Times (FT) reported Saturday, citing more than a dozen current and former senior employees.

The report came a little more than a week after Amazon CEO Andy Jassy announced the company’s capital expenditure would come to $200 billion for 2025, more than that of Google and Microsoft, with spending focused on computing infrastructure.

“We have deep experience understanding demand signals in the AWS business and then turning that capacity into a strong return on invested capital,” Jassy said earlier this month. “We’re confident this will be the case here as well.”