Amazon CEO Andy Jassy affirms long-term reliance on Nvidia chips even as in-house AI silicon scales past $20B

1 hour ago 2



Amazon’s Andy Jassy wants to make one thing very clear: Nvidia isn’t going anywhere. In his April 2026 letter to shareholders, the Amazon CEO stated that “virtually all AI thus far has been done on NVIDIA chips” and affirmed that AWS will remain the best place to run them. The words carry weight because they address what has quietly become Nvidia’s most discussed risk factor: that its biggest customers are also its future competitors. Amazon, Google, Microsoft, and Meta have all poured resources into custom AI accelerators. The numbers behind the commitment In August 2026, Amazon agreed to buy an additional 2 million Nvidia GPUs for deployment across AWS data centers in the 2027-2028 timeframe. That order sits on top of a previous commitment for 1 million chips, bringing the total pipeline to roughly 3 million GPUs. Amazon’s own AI chip business, spanning the Graviton, Trainium, and Nitro product lines, has crossed an annual revenue run rate exceeding $20 billion. That figure could balloon to $50 billion if Amazon ever chose to commercialize its chips externally. Trainium2, Amazon’s current-generation AI training chip, offers roughly 30% better price-performance than comparable GPU...

Read Entire Article