Amazon pledges $100 billion for AI in AWS, aiming for long-term cloud dominance despite short-term financial risks.

Amazon plans to invest a massive $100 billion in AI for its cloud service, AWS, in 2025. CEO Andy Jassy sees AI as a "once-in-a-lifetime" opportunity, predicting it will transform all applications. Despite expected short-term earnings hits, the investment signals long-term growth potential, easing capacity constraints and maximizing chip usage. The move is seen as a strong play for maintaining leadership in cloud services, making Amazon stock a compelling buy.

6 weeks ago
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