Amazon CEO Jassy Defends $200B Capex in Shareholder Letter — Values Custom Chip Business at $50B, Takes Aim at Nvidia

TechCrunch·high signal

Andy Jassy's 2026 shareholder letter reads as a competitive manifesto: Amazon's custom chip business (Graviton, Trainium, Nitro) generates $20B+ annualized revenue growing at triple-digit rates, and he values it at $50B if sold externally. Graviton now used by 98% of top 1,000 EC2 customers. The letter acknowledges Nvidia partnership while explicitly calling 'a new shift' away from Nvidia-only AI compute. Jassy also targeted Intel and Starlink while defending the $200B capex as backed by customer commitments.