Amazon CEO Andy Jassy is set to unveil third-quarter results with analysts expecting Earnings per share: $1.57 and Revenue: $177.8 billion. Wall Street is eyeing Amazon Web Services revenue of $32.42 billion and Advertising revenue of $17.34 billion. AWS growth is a key focus amid competition from Google and Microsoft, with AWS projected to grow 18.1% year over year.

AWS faced an extended outage recently, impacting various websites. The unit is also facing challenges in securing lucrative artificial intelligence deals for cloud services, unlike competitors like Google and Meta. Amazon announced the opening of its $11 billion AI data center, Project Rainier, to support Anthropic. AWS CEO Andy Jassy emphasized AWS’s leadership in cloud market share and the evolving AI industry.

Investors are also closely watching Amazon’s core retail business as the holiday shopping season approaches. Adobe Analytics projects online holiday spending in the U.S. to increase by 5.3% year over year to $253.4 billion. Amazon’s recent Prime Day event saw online spending reach $24.1 billion, exceeding estimates with 30.3% growth year over year.

Amazon recently initiated massive layoffs, cutting around 14,000 roles as part of efforts to streamline operations and invest more in AI. The company is expected to implement more cuts in the new year. Despite challenges, Amazon’s third-quarter sales are predicted to grow by 11.9% year over year, with analysts projecting fourth-quarter sales to reach $208.1 billion. Amazon shares have increased by 4.9% this year.

Read more at CNBC: Amazon (AMZN) Q3 earnings report 2025