Amazon CEO Andy Jassy told employees during an internal all-hands meeting that he now believes artificial intelligence could lift Amazon Web Services to $600 billion in annual sales, a figure Reuters reported on Tuesday.
Jassy said he had previously expected AWS could reach approximately $300 billion in annual revenue in about 10 years. His latest projection represents a doubling of that earlier estimate, with AI developments providing the rationale for at least doubling the prior figure.
Amazon reported consolidated net sales of $716.9 billion in 2025, a 12% increase year-over-year. The AWS segment recorded sales of $128.7 billion over the same period, up 20% from the prior year. Using those figures, Jassy's $600 billion target implies the cloud unit would need to expand roughly fivefold in the next decade to meet the new mark.
In support of that trajectory, Amazon has been expanding AI-focused collaborations. The company has worked with NVIDIA on advanced AI assistants designed for vehicles. Separately, AWS and Cerebras announced a collaboration intended to advance AI inference speed and performance in the cloud.
Amazon also maintains a multi-year strategic partnership with OpenAI that can involve up to $50 billion in investment to accelerate AI innovation. That partnership includes the large-scale deployment of Amazon's custom Trainium AI chips by OpenAI.
Market reaction to Jassy's comments was immediate: Amazon shares jumped after the report, before trimming part of those gains and settling at roughly 1% higher at the most recent update.
Context and implications
Jassy's upgraded revenue target anchors on the assumption that AI will materially expand demand for cloud compute, storage and associated services. AWS would need sustained, high single-digit to double-digit annual growth rates well above its recent pace to scale from $128.7 billion to $600 billion in about 10 years. The company is strengthening its product and partner ecosystem to capture that potential demand, but the goal remains an ambitious leap from current revenue levels.
What remains clear from Jassy's remarks
- A significant upgrade in the long-term revenue outlook for AWS tied explicitly to developments in AI.
- Current AWS revenue is $128.7 billion, and Amazon's total net sales were $716.9 billion in 2025.
- Strategic AI collaborations and potential multi-year investments with partners such as NVIDIA, Cerebras and OpenAI form part of the roadmap cited by leadership.