CoreWeave Vs. Cloud Giants: Amazon's Most At Risk

The article argues that CoreWeave’s rise highlights a key threat to Amazon’s AWS business even as both Amazon and NVIDIA post strong AI-related growth. AWS grew 37% year over year, but Amazon’s heavy capex burden of $54.2 billion in Q2 pushed free cash flow negative, underscoring the cost of retrofitting its cloud for AI workloads. By contrast, CoreWeave’s bare-metal, NVIDIA-based infrastructure is positioned as 40% to 60% cheaper for frontier AI training, potentially siphoning high-margin AI demand away from AWS. The piece concludes that NVIDIA is the cleaner AI investment because it benefits regardless of whether workloads run on AWS, CoreWeave, Anthropic, or OpenAI, while Amazon faces more direct competitive pressure and margin strain.