Amazon CEO Says AWS Capacity Is Largely Sold Out Through 2027
Amazon CEO Andy Jassy announced that AWS cloud computing capacity is essentially sold out through 2027, with long-term orders already extending into 2028 due to surging AI demand. Jassy noted that while bulk capacity is largely committed, some resources are still reserved for on-demand use, Amazon Bedrock, and EC2. This announcement highlights the unprecedented, relentless demand for AI infrastructure from tech companies and enterprise labs. It underscores the massive capital expenditure cycles and supply constraints shaping the global cloud computing and AI industries. Amazon previously planned capital expenditures of around $220 billion for 2026, and Jassy suggested that even heavier investments would still represent efficient capital allocation. Despite the tight supply, Amazon is deliberately withholding a fraction of capacity to support flexible workloads and its Bedrock generative AI platform.
## BACKGROUND
Amazon EC2 (Elastic Compute Cloud) is a core web service providing scalable virtual server capacity in the cloud, while Amazon Bedrock is a fully managed service that lets developers build generative AI applications using foundation models from multiple providers. Both services rely heavily on vast underlying cloud computing infrastructure to function at production scale.