Amazon CEO Andy Jassy says AWS capacity for 2027 is largely sold out

Amazon CEO Andy Jassy says most of Amazon Web Services' cloud capacity for 2027 is already sold, and a good chunk of 2028 is too. He made the comments on a video podcast with Andreessen Horowitz co-founder Ben Horowitz and general partner Erik Torenberg, as reported by Reuters on October 23.

"2027 is largely sold out. We always leave a certain amount for on demand and our inference [service] Bedrock, or EC2, but largely sold out all the big chunks. A good chunk of 2028 is sold out," Jassy said. He said Amazon is struggling to meet demand from AI labs and enterprise customers despite plans to spend about $220 billion on capital expenditure in 2026, and that the company could justify investing even more.

Jassy described AI demand as a barbell. On one end, AI labs are consuming compute at an unprecedented scale. On the other, enterprises are moving their own workloads onto AI services. The detail about reserved capacity matters: the big blocks are being booked years ahead, while a smaller pool stays open for walk-up customers on EC2 and Bedrock.

Amazon is not alone. Google CEO Sundar Pichai has also said compute will stay tight into next year. And separate reporting says some of the Nvidia racks Amazon has received are waiting on power at sites that are not ready to run them.

Why it matters for developers: if the largest cloud is selling capacity two years out, the price and availability of GPUs will stay tight for anyone who did not reserve early. Teams planning large training or inference loads should expect longer waits for big allocations, more pressure to sign multi-year commitments, and more reason to design for multiple regions or providers.

What's next: Amazon's third quarter earnings on October 29 should show how fast new capacity is coming online and whether the company raises its spending plans again.

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