Amazon expects about $220 billion in 2026 capital spending amid AI demand

In an a16z interview, Amazon CEO Andy Jassy said the company expects about $220 billion in capital spending in 2026 but is still leaving meaningful AI demand on the table. He compared AWS's AI business, above a $25 billion run rate after three years, with AWS's roughly $60 million annual run rate after its first three years. He argued that inference costs must fall for broader enterprise use and called cybersecurity an immediate AI risk.