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Amazon CEO Andy Jassy thinks companies should gift “ sharply ” in AI now to glean the full financial rewards in the future .
In hisannual letter to Amazon shareholderspublished Thursday , Jassy said “ square capital ” is required to keep up with the pace of AI innovation and customer demand for AI product . He added that Amazon , too , involve to spend this money now if it hop to see unassailable returns on its investment age down the line .
“ We continue to believe AI is a once - in - a - lifetime reinvention of everything we cognize , ” Jassy write in his shareholder alphabetic character . “ The need is unlike anything we ’ve seen before , and our customers , shareholders , and clientele will be well - served by our investment aggressively now . ”
Jassy say the bighearted AI expenses are currently datum center and chips , but he added that , over meter , this base will start to be less .
“ In AWS , the fast demand grows , the more data middle , chips , and hardware we take to pimp ( and AI cow chip are much more expensive than CPU chips ) , ” Jassy pen . “ We spend this Washington upfront , even though these asset are utilitarian for many years . ”
Jassy pop the question Amazon ’s own Trainium2 chip as an example that Leontyne Price will go down for AI base over time . He added that these silicon chip offer 30%-40 % good Leontyne Price - performance than the current GPU - powered computer science instances generally uncommitted today . Trainium2was loose in belated 2024 .
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Jassy also said that AI price kinetics will transfer in the future as the training cost for AI come down and money is instead put toward inference , or in reality serving AI models .
“ We palpate strong urgency to make inference less expensive for customers , ” Jassy publish . “ More price - performant chips will help . But , illation will also get meaningfully more efficient in the next couple of years with improvements in exemplar distillate , command prompt caching , computing substructure , and model architecture . ”
Amazon is presently build more than 1,000 procreative AI coating , Jassy said in the shareholder varsity letter . He added that Amazon ’s AI revenue is growing at “ threefold - figure ” year - over - year percentage and represent a “ multi - billion - dollar bill annual revenue streak rate . ”
Amazon declined to comment further .