{"slug": "q2-earnings-andy-jassy-on-why-aws-is-booming-and-what-it-means-for-customers", "title": "Q2 Earnings: Andy Jassy on why AWS is booming and what it means for customers", "summary": "AWS has reached a $169 billion annualized revenue run rate, with its AI business alone now exceeding $25 billion and growing triple-digit percentages year over year, according to Amazon CEO Andy Jassy. The company's custom chip business also surpassed $25 billion in annual revenue, driven by demand for AI inference and core infrastructure services like SageMaker AI and Amazon Bedrock.", "body_md": "AWS is now a $169 billion annualized revenue run rate business, which for perspective, would place it 24th on the Fortune 500 list if it was a standalone company.\n\n[Our Chips business](https://www.aboutamazon.com/what-we-do/amazon-custom-chips)now has an annual revenue run rate over $25 billion, growing triple-digit percentages year over year.\n\n[Our AI](https://www.aboutamazon.com/news/tag/artificial-intelligence)revenue run rate climbed significantly quarter over quarter and is now also over $25 billion, growing triple-digit percentages year over year.\n\nCustomers choose\n\n[AWS](https://www.aboutamazon.com/what-we-do/amazon-web-services)because we offer the broadest capabilities, they want their AI inference to reside near their other applications and data—and more of it resides in AWS than anywhere else, and because AWS has the strongest security and operational performance.We’re seeing strong growth across both AI and non-AI (what we call “core”), and growth in one is driving growth in the other. Growth in AI drives core because post-training, reinforcement learning, and agent tool use is mostly done on CPUs vs AI accelerators. This is an advantage for AWS, as our\n\n[Graviton chip](https://www.aboutamazon.com/news/aws/aws-graviton-5-cpu-amazon-ec2)is the strongest[CPU chip](https://www.aboutamazon.com/news/aws/amazon-agentic-ai-cpu-aws-graviton), offering up to 30-40% better price-performance than other options. You need a place to store this AI data and to run vector databases, which are also emblematic of a meaningful edge for AWS because we have the broadest and most capable functionality, by a fair bit, in these core infrastructure areas.We feel similarly about the AI stack, top-to-bottom. We have a unique offering that customers are excited about. As we’ve been saying for 18 months now, technically competent companies are going to build their own foundation models, not the really big frontier models, but smaller models that leverage their proprietary data. There is no easier service for this than our\n\n[SageMaker AI](https://aws.amazon.com/sagemaker/ai/)service. Customers also need a high performance, cost-effective inference service, and that’s what[Amazon Bedrock](https://aws.amazon.com/bedrock)provides. Bedrock not only provides the best selection of leading models, at superior performance, and with the governance and security controls that companies need, it’s also continuing to grow incredibly quickly.In addition to leading model-building and inference services, customers need easier ways to build, run, and leverage agents. For example, even after you’ve built an agent, you have a lot of muck to worry about—a production agent needs somewhere secure to run, memory so it holds context, an identity so it can act on a user’s behalf, tools and data to connect to, and a way to watch what it’s doing once real traffic hits. Stitching all of that together reliably is hard, and it’s stalled many production deployments. It’s why we’ve built\n\n[Bedrock AgentCore](https://aws.amazon.com/bedrock/agentcore). It provides those building blocks as managed infrastructure. And our teams keep iterating, and have recently added features like Policies (which give companies deterministic controls over what agents can do), Payments (so agents can execute transactions autonomously), Web Search (to ground agents’ knowledge without having to leave AWS), and a new Harness that further speeds up how fast customers can put this all together—including creating the agent with Strands).While companies will construct their own purpose-built agents from the ground-up, most will also use turnkey agentic services. Coding agents are a good example, and there are several successful ones including Claude Code, Codex, and our own spec-driven\n\n[Kiro](https://kiro.dev/), which is up to ~50% more cost-effective than others and tripled in usage quarter over quarter.Another of these agentic services is\n\n[Amazon Quick](https://aws.amazon.com/quick), an intelligent AI work companion that helps you manage, search, and automate your digital workload across email, calendar, local or cloud files, and custom workflows. Unlike other offerings in this space, Quick also lets you manage across leading SaaS tools like Slack, Salesforce, Jira, Teams, and ServiceNow. Quick enforces a company’s existing access controls so each person sees only what they’re cleared to see. And then it takes action—scheduling meetings, drafting and sending email, updating a CRM record, building a dashboard, and more. In Q2, we made Quick even more capable, adding autonomous agents that customers set up in plain language to run continuously in the background and carry out multi-step tasks; a personalized activity feed that pulls email, messages, calendar, and tasks into one prioritized view; and 16 new integrations, including Adobe, Moody's, and Snowflake. Quick has momentum with 3M, Allianz, AstraZeneca, Autodesk, BMW, Exxon, Finra, Hyundai, Intuit, Mondelez, Moody’s, the NBA, the NFL, New York Life Insurance, and Southwest Airlines all using it.We also have agentic services like\n\n[Amazon Connect](https://www.aboutamazon.com/news/aws/amazon-connect-ai-business-set)(our call center service) and[AWS Transform](https://www.aboutamazon.com/news/aws/aws-transform-ai-agents-windows-modern)(which automates software migration) growing quickly.I’ll mention one more that I’m excited about. As frontier models get increasingly powerful, they’re making it easier to find security vulnerabilities in technical applications, many of which humans haven’t found. This is obviously concerning for companies that protect important data. We recently released\n\n[AWS Continuum](https://www.aboutamazon.com/news/aws/aws-summit-nyc-2026-ai-agents), which discovers, prioritizes, validates, and remediates code vulnerabilities. It starts by ingesting the backlog of vulnerabilities a team already has, and then leverages the new frontier models to run comprehensive scans. Continuum uses agents and each company’s own business context to prioritize what matters—reasoning through questions like ‘Is the affected component deployed?’ ‘Is it reachable?’ ‘Is it in a production path?’ ‘And what’s the impact if it’s exploited?’ It then validates vulnerabilities in a sandbox, so teams aren’t chasing false positives. And finally, it recommends the fix. It’s hard to talk to with enterprises about AI right now without their mentioning security, and we expect Continuum to grow quickly.Trending news and stories", "url": "https://wpnews.pro/news/q2-earnings-andy-jassy-on-why-aws-is-booming-and-what-it-means-for-customers", "canonical_source": "https://www.aboutamazon.com/news/company-news/amazon-ceo-andy-jassy-aws-revenue-growth-q2-2026-earnings?utm_source=rss", "published_at": "2026-07-31 00:22:36+00:00", "updated_at": "2026-07-31 00:29:03.703932+00:00", "lang": "en", "topics": ["artificial-intelligence", "ai-infrastructure", "ai-chips", "ai-products", "ai-tools"], "entities": ["AWS", "Andy Jassy", "Amazon", "Graviton", "SageMaker AI", "Amazon Bedrock", "Bedrock AgentCore", "Kiro"], "alternates": {"html": "https://wpnews.pro/news/q2-earnings-andy-jassy-on-why-aws-is-booming-and-what-it-means-for-customers", "markdown": "https://wpnews.pro/news/q2-earnings-andy-jassy-on-why-aws-is-booming-and-what-it-means-for-customers.md", "text": "https://wpnews.pro/news/q2-earnings-andy-jassy-on-why-aws-is-booming-and-what-it-means-for-customers.txt", "jsonld": "https://wpnews.pro/news/q2-earnings-andy-jassy-on-why-aws-is-booming-and-what-it-means-for-customers.jsonld"}}