Amazon and Nvidia have deepened their partnership with a new agreement to add another 2 million Nvidia GPU chips to Amazon’s data centers. The companies announced the expanded deal on Wednesday, underscoring how quickly demand for AI computing power continues to climb.
The GPUs are built to manage the intensive workloads required for training and running AI models. The order includes Nvidia Blackwell Ultra, Rubin, and Rubin Ultra chips, which will be deployed across Amazon Web Services data centers in 2027 and 2028.
The announcement, delivered during Nvidia’s quarterly earnings call, arrives just five months after Amazon committed to deploy more than 1 million Nvidia GPUs across AWS infrastructure starting this year. According to Nvidia, demand has since “exceeded those expectations.”
Neither company disclosed financial terms, and the exact return for Nvidia remains unclear. Based on GPU unit costs, however, the deal is estimated to be worth tens of billions of dollars.
Partnership Extends Beyond GPUs
The scope of the agreement goes further than chip sales alone. Nvidia said its networking hardware, which links thousands of GPUs into a single system, will also be integrated across AWS, along with its open models, CPUs, data processing software, and robotics platform.
Both companies pointed to “surging demand” from startups, enterprises, AI labs, and even governments as a driving factor behind the closer collaboration. The expansion is notable because it comes even as Amazon invests in its own AI chip efforts, particularly with CPUs, the general-purpose processors at the core of servers.
Amazon has been developing custom silicon to reduce its reliance on Nvidia and, in some cases, compete directly with it. AWS AI chief Peter DeSantis has said the company is in talks to sell its Trainium chips, positioned as an alternative to Nvidia’s H100 and Blackwell chips for deep learning, to outside companies for data center use. Amazon’s Arm-based Graviton CPU is also viewed as a challenger to server chips from Intel and AMD.
Custom Chips and Nvidia’s Vera CPUs
Amazon has reported that its custom chip business is expanding, noting on its most recent earnings call that it passed a EUR 21 billion annualized revenue run rate. That growth was driven by EUR 193 billion in total commitments from AI labs including Anthropic and OpenAI.
Alongside the 2 million GPUs headed to AWS starting in the third quarter, Nvidia plans to ship an unspecified number of Vera CPUs, “some integrated with Rubin, others standalone,” according to Nvidia CFO Colette Kress. Nvidia CEO Jensen Huang identified a “brand new EUR 171 billion TAM” for the company’s Vera CPUs back in May.
Kress said Nvidia expects Vera to be deployed by “every major hyperscaler, neocloud, AI lab, and system OEM, with shipments already underway to our lead partners,” which include Oracle and SpaceXAI.
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