Amazon's cloud compute capacity for 2027 is largely presold, Chief Executive Andy Jassy said, and the company has recorded significant contractual commitments stretching into 2028.

According to Reuters, Jassy made the remark in a video conversation with Ben Horowitz, a cofounder of Andreessen Horowitz, and Eric Tornberg, a general partner at the firm. He described meeting the insatiable demand from research labs and AI developers as increasingly difficult.

Jassy said, "Year 2027 is largely presold. We always keep some amount for on-demand and inference services such as Bedrock or EC2, but the big pieces are mostly sold. A large chunk of 2028 capacity is also sold."

Planned capital spending

Earlier this year Amazon announced plans to allocate about $220 billion to capital expenditures for 2026. Jassy said the company believes it can invest amounts well beyond that figure because the cloud compute capacity for 2026 is already reserved in advance, Reuters reported.

The comments were published by Reuters and reflect Amazon's account of demand and contractual bookings for its cloud infrastructure.