Amazon CEO Andy Jassy reaffirmed AWS’s dominance on the earnings call, despite losing market share to Google Cloud and Microsoft Azure. AWS reported 20% growth, trailing Google Cloud’s 36% and Microsoft’s 39%. Jassy defended AWS, highlighting its revenue and capacity growth, including $10 billion from AI chips.

AWS remains the cloud leader, generating $21.2 billion in 2025 revenue, surpassing Google Cloud’s $15.5 billion and Azure’s $19 billion. Amazon plans $200 billion in capital expenditures for AWS, signaling commitment to maintaining leadership. AWS also boasts higher profit margins, with $45.6 billion in operating income compared to Google Cloud’s $13.9 billion.

Amazon’s stock dipped post-earnings report due to concerns over the $200 billion capex forecast. While the spending may impact free cash flow in 2026, Amazon’s solid financial performance remains evident. Revenue rose 14% to $213.4 billion, with operating income up 18% to $25 billion. The stock’s current P/E ratio suggests fair valuation, but the spending boom could limit upside potential.

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Read more at Nasdaq: Think AWS Is Losing To Azure and Google Cloud? You Need To Hear This Quote From Amazon CEO Andy Jassy