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Amazon Secures 2 Million Nvidia GPUs in Multi-Billion Dollar AI Infrastructure Expansion
Electronic Technology · Semiconductors · yonhap_finance · 2026-08-26
Amazon Web Services plans to acquire 2 million Nvidia GPUs between 2027 and 2028 to bolster its AI infrastructure amid surging global demand.
What Happened
Massive GPU Procurement: Amazon Web Services (AWS) has announced plans to acquire 2 million additional Nvidia GPUs between 2027 and 2028. The deal includes high-end chips such as Blackwell Ultra, Rubin, and Rubin Ultra, significantly expanding AWS's existing AI computing capacity.
Strategic Partnership: Nvidia confirmed the deal as part of a broader effort to meet the rapidly growing global demand for AI infrastructure. While the exact financial terms remain undisclosed, analysts estimate the contract value to be in the tens of billions of dollars given the premium pricing of these advanced processors.
Dual-Track Hardware Strategy: While relying heavily on Nvidia's hardware, Amazon continues to invest heavily in its internal chip division, Annapurna Labs. The company is developing its own 'Trainium' AI accelerators to optimize data center efficiency and reduce long-term reliance on third-party suppliers.
Competitive Landscape: Major hyperscalers like Amazon, Microsoft, and Google are balancing the use of Nvidia's market-leading GPUs with the development of proprietary silicon. Amazon's strategy includes integrating Nvidia's networking technology into its own AI chips to maintain a competitive edge in the cloud computing market.