AWS hails return to accelerated development with Q3 outcomes
Amazon Internet Companies’ (AWS’s) third-quarter outcomes present the general public cloud large has resumed rising at a tempo not seen since 2022, with an annual income development price of 20.2%, which is reported to be its largest in 11 quarters.
Discussing the corporate’s outcomes, on a convention name with analysts transcribed by Searching for Alpha, Amazon CEO Andy Jassy used the expansion price determine to solid shade on its opponents, who’ve additionally printed their monetary outcomes prior to now few days.
“It’s value remembering that year-over-year share development is a relative time period,” he stated. “It is extremely totally different having 20% year-over-year development on a $132bn annualised run price and to have a better share development price on a meaningfully smaller annual income, which is the case with our opponents.”
The outcomes additionally confirmed that AWS made a revenue of $11.4bn through the three months to 30 September 2025, which is up from $10.4bn throughout Q3 2024, though the corporate stated this determine would have been larger, however does think about “estimated severance prices primarily associated to deliberate position eliminations”, in its monetary assertion.
As beforehand reported by Pc Weekly, AWS’s mum or dad firm, Amazon.com, outlined plans on 28 October 2025 to put off 14,000 workers amid a synthetic intelligence (AI)-enabled cost-cutting drive. Whereas these job losses can be felt throughout the corporate as an entire, not simply AWS, Jassy confirmed on the convention name that Amazon has put aside $1.8bm throughout Q3 to cowl its estimated severance prices.
By way of what’s driving this reinvigorated development for AWS, he stated the corporate’s backlog of enterprise elevated to $200bn by Q3 and doesn’t bear in mind a number of unannounced offers it secured in October, which it claims are value greater than its complete Q3 deal quantity.
“AWS is gaining momentum,” stated Jassy. “Clients wish to be operating their core and AI workloads in AWS, given its stronger performance, safety and operational efficiency, and the dimensions I see in entrance of us provides me important confidence in what lies forward.”
He went on to say that, in its favour, is that AWS has a lot broader infrastructure performance, and the “deepest array of capabilities” and “deeper options inside these providers” than any of its opponents.
“Due to its advantaged capabilities, safety, operational efficiency and buyer focus, AWS continues to earn a lot of the large enterprise and authorities transformations to the cloud,” continued Jassy.
“Because of this, AWS is the place the preponderance of firm’s knowledge and workloads reside and a part of why most corporations wish to run AI and AWS. To allow clients to take action, we have to have the requisite capability, and we’ve been targeted on accelerating capability the final a number of months, including greater than 3.8 gigawatts of energy prior to now 12 months, greater than another cloud supplier.”
To strengthen this level, Jassy stated AWS now has double the datacentre energy capability that it had in 2022, and is on observe to double this once more by 2027. “Within the final quarter of this 12 months alone, we count on so as to add at the least one other one gigawatt of energy,” he stated. “This capability consists of energy, datacentre and chips, primarily our customized silicon, Tranium and Nvidia.
“You’re going to see us proceed to be very aggressive in investing in capability as a result of we see the demand,” added Jassy. “As quick as we’re including capability proper now, we’re monetising it. It’s nonetheless fairly early and represents an uncommon alternative for purchasers in AWS.”
