Back to Neoclouds like $NBIS , and the spillover from memory… from an interview with Amazon’s CEO + A16z.
Q: Memory shortages (e.g. Micron / SK Hynix / Samsung)?
A: “There’s only so much memory. I don’t think this shortage will be over by 2027.”
Q: AWS capacity?
A: “A big chunk of 2028 is already sold out.” “2027 is basically sold out too.”
Q: Capex ROI?
A: Amazon says 2026 Capex will be around $220 billion, but Jassy says, “We could invest a lot more and still not be wasting money.”
This is really a validation of the Neocloud model—from a notoriously frugal hyperscaler, not the kind of company that throws cruise-ship buffets for its employees every day.
AWS also says its own accelerators offer around a 30–40% price-performance advantage, and praised Annapurna as one of the best acquisitions in Amazon’s history.
TLDR:
- Not much groundbreaking new information—more incremental validation of what we already heard in previous earnings reports
- The broader shortage (e.g. memory) won’t be over by 2027
- With sentiment around Neoclouds very weak, hearing Amazon talk about demand and ROI is still a positive sign
$NBIS
Q: Memory shortages (e.g. Micron / SK Hynix / Samsung)?
A: “There’s only so much memory. I don’t think this shortage will be over by 2027.”
Q: AWS capacity?
A: “A big chunk of 2028 is already sold out.” “2027 is basically sold out too.”
Q: Capex ROI?
A: Amazon says 2026 Capex will be around $220 billion, but Jassy says, “We could invest a lot more and still not be wasting money.”
This is really a validation of the Neocloud model—from a notoriously frugal hyperscaler, not the kind of company that throws cruise-ship buffets for its employees every day.
AWS also says its own accelerators offer around a 30–40% price-performance advantage, and praised Annapurna as one of the best acquisitions in Amazon’s history.
TLDR:
- Not much groundbreaking new information—more incremental validation of what we already heard in previous earnings reports
- The broader shortage (e.g. memory) won’t be over by 2027
- With sentiment around Neoclouds very weak, hearing Amazon talk about demand and ROI is still a positive sign
$NBIS
