Amazon Web Services revenue jumped 37% to $42.2 billion in the second quarter ended June 30, the fastest growth rate since 2021, while capital expenditure on AI-driven infrastructure is set to rise to $220 billion for this year. Total Amazon sales rose 20% year-on-year to $200.6 billion, compared with $167.7 billion, and net income increased to $62.6 billion from $18.2 billion. AWS operating income was $16.6 billion, compared with $10.2 billion in second quarter 2025. CEO Andy Jassy called AWS “booming,” noting it is now a $169 billion annualized revenue run rate business, which would place it 24th in the Fortune 500 list if standalone. The chips business has an annual revenue run rate of over $25 billion, growing triple-digit percentages year-over-year, and AI revenue run rate is also over $25 billion with triple-digit growth. Growth comes from both AI and non-AI users, with AI driving core demand because post-training reinforcement learning and agent tool use mostly run on CPUs, where AWS’s Graviton chip offers up to 30% to 40% better price performance. New AWS agreements included Warner Bros. Discovery, Vodafone, Siemens Energy, Ryanair, Pinterest, Snowflake, Moody’s, Danske Bank, WNBA, Pennymac, Fiserv, WPP Enterprise Solutions, Vonage, Recursive