Amazon Web Services has expanded orders for AI server racks, boosting shipments from suppliers including TSMC, Alchip-KY, Wiwynn, and Foxconn. According to ChainCatcher, Amazon also raised its capital expenditure plan for this year from $200 billion to $220 billion, with the spending focused on AI infrastructure such as data centers, servers, and networking equipment.

Amazon CEO Andy Jassy said AI computing capacity is expected to remain tight through 2027 and that strong demand is already visible into 2028. AWS's AI business and in-house chip scale has grown to $25 billion and continues to post triple-digit percentage growth.

Annapurna Labs' custom ASIC chips are mostly manufactured by TSMC using its 3-nanometer process. Alchip-KY, a key partner on AWS's in-house AI chips, expects revenue and profit to hit record highs this quarter and sees further growth in the fourth quarter. Wiwynn handles assembly of AWS's ASIC AI racks and supplies switch trays, while Foxconn has entered CPU tray production. Foxconn rotating CEO Jiang Jiheng said the company has made new progress in its ASIC project and is targeting more than 40% market share in ASIC servers this year.