Andy Jassy said Amazon will spend $220 billion this year—and still won’t have enough capacity to meet demand

Amazon reported strong Q2 results driven by 37% year-over-year revenue growth in its Amazon Web Services (AWS) cloud business, which now has a $496 billion backlog. CEO Andy Jassy announced increased 2026 capital expenditures of $220 billion, up from $200 billion, but stated Amazon will still lack capacity to meet demand. AWS operating income rose 64% to $16.6 billion, with a 39.4% margin.