AWS Storms Back to Dominance, Leaving Microsoft in Slow Lane

Amazon's AWS unit has reported an impressive quarter, its best in four to five years. The unit had a fantastic Q2, according to Cloud Wars founder Bob Evans, pushing Microsoft into the slow lane.

AWS saw its backlog soar by 154% to nearly $500 billion, and Amazon plans to spend $220 billion on capital expenditure (CapEx) next year to fund this expansion in cloud and AI. This investment will largely go towards building data centers necessary for the growth of AWS and other related services.

The reshuffling of hyperscaler rankings has put Google Cloud and AWS on a continuous upswing, while Microsoft has leveled off. The smallest backlog number among the four hyperscalers is AWS at $496 billion, with Microsoft's being around $675 billion, Google Cloud's at $514 billion, and Oracle's at about $636 billion.