Amazon Pushes External Trainium Chip Sales to Rival Nvidia

On June 19, reports surfaced that Amazon is in early talks to sell its Trainium AI accelerators to outside companies, expanding its custom silicon business beyond AWS and directly challenging Nvidia. This follows June 17 updates where Amazon’s AI chief acknowledged the company still trails OpenAI and Anthropic but expects to reach frontier-model status within a year via Bedrock and Nova2, which already serves 50,000 customers. Jeff Bezos reinforced AI’s job-creating potential at VivaTech, while Amazon’s custom-chip revenue run rate exceeded $20 billion in Q1 2026 with major commitments from OpenAI and Anthropic. Nvidia’s data center revenue surged 92% YoY to $75.2 billion, and Amazon plans to deploy over one million Nvidia GPUs starting in 2026. Both stocks rose about 3% on the news.