Amazon.com Inc. (AMZN) told investors this week that its cloud unit will keep expanding at more than 40% a year through 2028 and could eventually become a $1 trillion annual business, a stretch of guidance the company has rarely offered. The forecast came alongside third-quarter results that showed AWS growing at its fastest pace in nearly five years, but also a cash-flow picture that has turned sharply negative as the company pours money into AI infrastructure.
AWS revenue rose 39.3% to $46 billion in the quarter ended Sept. 30, the sixth consecutive quarter of accelerating growth and the quickest since late 2021. That lifted the unit’s annualized run rate to $184 billion, while operating income climbed about 55% to $17.8 billion. Contracted work not yet booked as revenue, known as backlog, reached $578 billion, up from $496 billion at the end of the prior quarter.
On the earnings call, Chief Executive Andy Jassy said Amazon is installing an AI accelerator roughly every 14 seconds…
https://finance.biggo.com/news/ef681f0f-ae38-481c-b7cf-649ddcad79b3
