Amazon CEO Andy Jassy's Scathing Annual Shareholder Letter Exposes the Competition's Weak Spots

In a bold move, Amazon's CEO Andy Jassy has unleashed a scathing annual shareholder letter, targeting Nvidia, Intel, and Starlink.

In his letter, Jassy proudly presents Amazon's own chip-making prowess, particularly its Trainium AI chips, which have reportedly hit a $20 billion annual revenue run rate. This is an astonishing feat, considering that if Amazon were a chipmaker that sold its wares to others, it would be at $50 billion ARR. Jassy also takes a subtle jab at Nvidia, highlighting that virtually all AI thus far has been done on NVIDIA chips but that a new shift has started, with AWS customers wanting better price-performance, which Trainium AI chips can provide.

"We have a strong partnership with NVIDIA, will always have customers who choose to run NVIDIA" and will always support these chips in its cloud, Jassy writes, but also notes that "a new shift has started" with AWS customers seeking better price-performance.

Meanwhile, Jassy didn't spare Intel either, pointing out that AWS's homegrown Graviton CPU, a competitor to the Intel x86 architecture, is now used expansively by 98% of the top 1,000 EC2 customers, and that two companies even asked to "buy all of our Graviton instance capacity in 2026"

• Amazon's Starlink competitor, Amazon Leo, scheduled to launch in mid-2026, is already succeeding, having won contracts from major players such as Delta Airlines, AT&T, Vodafone, Australia’s National Broadband Network, NASA, among others.

Jassy also hinted at Amazon's potential foray into robotics, mentioning that the company could be looking at selling robotics one day, possibly leveraging the data from its 1 million warehouse robots to create "robotics solutions" for industrial uses and consumers.

• In a nod to the skepticism surrounding the tech bubble, Jassy insists that beyond OpenAI, "there are several other customer agreements completed (and unannounced), or deep in process," lined up to buy the AWS capacity.

Jassy's pitch to shareholders is clear: Amazon's massive $200 billion capex spend in 2026 is not a hunch, but a strategic investment in its future dominance in AI, cloud computing, and satellite connectivity.