Particle.news
Download on the App Store
5 ARTICLES
·
3w ago

Snowflake Signs $6 Billion, Five-Year Deal With AWS for Graviton CPUs and Cloud GPUs

The pact signals AWS’s push to capture production AI workloads using Graviton processors and GPU instances, raising Snowflake’s multi-year committed cloud spend.

The Snowflake logo on a wall treated with the Japanese burning technique shou sugi ban. (GeekWire Photo / Kurt Schlosser)
Credit: The New Stack.
Image

Overview

  • Snowflake, which announced the agreement on Wednesday, May 27, 2026, signed a $6 billion purchase commitment with Amazon Web Services to expand use of Graviton ARM CPUs and cloud-hosted GPUs over five years.
  • The announcement came with Snowflake’s fiscal first-quarter results that beat expectations and a stock jump of as much as 30% in extended trading.
  • Unlike some of AWS’s other large AI partnerships, this agreement does not include an equity stake by Amazon, reflecting a pure customer-provider purchase commitment rather than an investment tie.
  • Industry reporting says the deal underscores growing demand for CPU-based general compute to run agentic AI orchestration while GPUs remain key for model training and inference, making Graviton attractive for cost and efficiency.
  • The $6 billion pact implies roughly $1.2 billion in average annual AWS spend, a marked increase from prior Snowflake-AWS commitments, and follows Snowflake’s Natoma acquisition as the company pushes to scale AI products for enterprise customers.