Overview
- Amazon’s shareholder letter on April 9 set 2026 capital spending at about $200 billion and, for the first time, disclosed AWS AI revenue at roughly a $15 billion annualized run rate with custom chips above $20 billion.
- Free cash flow has fallen to about $11 billion from roughly $38 billion as AI-focused capital spending surged, pressuring near-term cash generation.
- Goldman Sachs cut its Amazon price target to $275 but kept a Buy rating, citing the need to see returns from the massive AI infrastructure push.
- AWS announced a five-year pact with Coupa to deploy Bedrock-built AI agents for spend management and gained expanded Uber workloads on Graviton4 chips for real-time trip and delivery requests.
- Amazon outlined a $25 billion data center expansion in Mississippi that it says will create about 2,000 high-skill jobs and convert a former manufacturing plant into a computing facility.