Amazon Boosts Capex Target Amid Booming Cloud Business

Amazon's second-quarter revenue and cloud growth exceeded estimates, sending shares soaring over 10% in after-hours trading.

The company posted a revenue of $200.61 billion, beating forecasts of $196.47 billion.

Chef Andy Jassy described AWS as 'booming', with AI and internally designed chip operations surpassing a $25 billion annual revenue pace.

Jassy attributed the revised capital expenditure target from $200 billion to $220 billion in 2026 to rising memory costs. He emphasized that even at this level, Amazon would still be unable to meet all demand in 2026 and likely in 2027 as well.