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Amazon CEO: The chip business’s independently operated segment is valued at $50 billion, and Trainium fourth-generation products are fully booked across the board
CryptoWorld News reports that Amazon CEO Andy Jassy said during the company’s first-quarter earnings call that if the chip business were operated independently, annual revenue would reach $50 billion. He noted that Amazon’s in-house chip business has already ranked among the top three global data center chips, and that the supply and demand situation for the fourth-generation Trainium (Amazon’s in-house AI training chip) is good. Trainium 2 is sold out, and Trainium 3 offers 30% to 40% better cost performance than Trainium 2, with nearly full subscriptions. Meanwhile, Trainium 4 is still expected to be about 18 months away from large-scale launch and has already been pre-ordered by most customers.
Jassy said that Trainium has accumulated over $225 billion in revenue commitments, coming from training contracts with Anthropic and OpenAI, as well as enterprise clients such as Uber. Most of the model inference services of Amazon Bedrock are now running on Trainium. Jassy also mentioned that AWS currently has a backlog of $364 billion, which does not yet include the over-$100 billion deal announced by Anthropic last week.