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AMZN
Business Insider
194 days

Amazon CEO says cloud business would have grown faster if it had more AI chips, power, and server components

1. AWS growth hindered by AI chip and energy supply shortages. 2. Fourth-quarter sales grew 19% to $28.8 billion, but guidance missed expectations. 3. Amazon plans $105 billion in capital expenditures for 2025, mainly for AI. 4. CEO believes AWS could grow faster without current capacity constraints. 5. AWS's AI potential could generate multi-billion revenues, indicating strong demand.

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FAQ

Why Bearish?

AWS's slower growth due to constraints may negatively affect AMZN's overall performance, similar to past downtrends.

How important is it?

AWS is critical for AMZN; any issues affecting AWS impact overall expectations significantly.

Why Long Term?

Capacity issues and capital expenditures may affect growth visibility for an extended period.

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