Amazon.com Is in Talks to Sell AI Chips. Can It Rival Nvidia?

Amazon shares rose after the company said AWS is in early talks to sell its custom Trainium AI chips to outside customers, potentially expanding its semiconductor business beyond internal use. The move would put Amazon more directly in competition with Nvidia and AMD in the fast-growing AI accelerator market. Investors reacted positively to the prospect of a new revenue stream for AWS, even as the broader AI chip market remains dominated by Nvidia. The article also notes that Amazon’s management has emphasized strong demand for Trainium and better price-performance versus Nvidia. J.P. Morgan’s projection that AI accelerator capex could reach $800 billion by 2030 underscores the size of the opportunity for Amazon and other chip suppliers.