AWS Sold Out Of Capacity Into 2028, Jassy Says

Amazon Web Services capacity is mostly booked up through at least next year, Amazon CEO Andy Jassy said on an Andreessen Horowitz podcast released on Friday.

“‘26 is obviously at this point sold out. [2027] is largely sold out. We always leave a certain amount for on demand and our inference service Bedrock or EC2 but largely sold out all the big chunks. A good chunk of ‘28 is sold out,” Jassy said. EC2 is Amazon’s service for running applications, while Bedrock helps companies run AI models.

But if demand does eventually slow, Amazon can deal with that too. Jassy said on the podcast AWS only needs to buy server and networking gear a few months in advance, making it easier to adjust purchases with customer demand. “If it turns out you don’t need the capacity to fill those data centers, you won’t buy the server networking gear,” Jassy said.

In a wide-ranging interview, Jassy also called Amazon’s more than one-decade old acquisition of chipmaker Annapurna Labs maybe the company’s best acquisition ever. Annapurna Labs is behind Amazon’s home-grown chip efforts, including its AI chip Trainium and CPU processor Graviton. Jassy later said that Amazon’s investment in Anthropic has helped Amazon’s chipmaking effort, as The Information has previously reported.

“[Anthropic] has been building on top of Trainium for a while, and I think it’s been very good for Anthropic. It’s been very good for our Trainium team,” he said. “We’ve learned quite a bit from each other.”