Amazon CEO Presses His Case for Big AI Spending
Amazon CEO Andy Jassy released his annual 2025 shareholder letter on April 9, 2026, forcefully defending the company's planned $200 billion capital expenditures (capex) in 2026, primarily for AI infrastructure, custom chips, data centers, robotics, and rural delivery expansion.[1][2][3][4][5] The letter highlights AWS AI revenue reaching a $15 billion annual run rate, internal chips generating over $20 billion yearly, and strong demand for Amazon's Graviton and Trainium chips, with two customers seeking all 2026 Graviton capacity.[1][3] Jassy positions AI as a "once-in-a-lifetime opportunity" multiplier across Amazon's operations, acknowledging short-term free cash flow drops from $38 billion to $11 billion due to a $50.7 billion capex surge, but promising long-term gains.[1][3][4]