Jassy says AWS capacity is largely committed into 2028

Amazon CEO Andy Jassy said AWS capacity is sold out for 2026, largely sold out for 2027 and a substantial portion of 2028 is already committed, The Information reported. The new wording sharpens the capacity picture from the 2026 and 2027 constraints Amazon had previously described to substantial commitments in 2028.

Jassy’s characterization covers customer commitments for large blocks of capacity—not an independently audited measure of physical utilization or a claim that every AWS service is unavailable. He said AWS retains some capacity for on-demand use, Amazon Bedrock inference and EC2, even as the larger blocks for 2027 are largely sold out.

Amazon expects about $220 billion in capital spending during 2026 and would still leave meaningful demand unmet, Jassy said. He described customer-demand visibility as a guide for AWS infrastructure spending.

Data-center investments begin about two years before servers can be installed and generate revenue, Jassy said, while servers and networking equipment are generally bought only months ahead. He said most customer agreements run for about five years.

The 2028 commitment language builds on Amazon’s earlier disclosures. In his 2025 shareholder letter, Jassy said a substantial portion of planned 2026 AWS capital expenditure—much of it expected to be monetized in 2027 and 2028—already had customer commitments.

During Amazon’s July results cycle, Jassy said AWS would be unable to meet all demand in 2026, expected the same dynamic in 2027 and called already-visible demand for 2028 striking. Amazon’s second-quarter results put AWS sales at $42.2 billion, up 37% from a year earlier, which the company described as a $169 billion annualized revenue run rate.