San Francisco, March 17 - Amazon CEO Andy Jassy told employees at a company-wide all-hands meeting that developments in artificial intelligence could push Amazon Web Services to roughly $600 billion in annual revenue, effectively doubling a prior expectation he had set for the cloud unit.
Jassy restated a projection he had held for several years that, absent the recent surge in AI, AWS might be a roughly $300 billion annual run-rate business in about 10 years. He then added that recent advances in AI give AWS the potential to at least double that prior estimate.
At the center of Jassy's comments was the impact he expects AI to have on cloud demand. The company convened the all-hands meeting to brief staff across multiple business lines, including drone deliveries, the advertising business and Amazon Fresh groceries, and to discuss broader company priorities.
Financially, AWS reported $128.7 billion in sales for 2025, a 19% increase from the prior year. Jassy's $600 billion projection for the unit implies an average compound growth rate of nearly 17% annually over the next decade, assuming the timeframe he referenced.
He did not offer specifics on how that $600 billion would be distributed across AWS products, services or geographic markets. Amazon did not immediately provide further comment after the meeting.
In the wake of those comments, Amazon's share price was roughly 1% higher, trading around $213.87.
Context and implication
The remarks highlight executive optimism that AI will materially expand demand for cloud infrastructure and services. However, the company has not disclosed the product-level mix that would underpin the higher revenue target, leaving questions about which service lines - from core compute and storage to specialized AI offerings - would contribute most to that growth.
Market reaction
Short-term market movements reflected modest positive sentiment, with the stock up about 1% following the internal briefing.