AWS Revenue Soars as Cloud Demand Remains High

Amazon's cloud service business recorded $35.6 billion in revenue in Q4 2025, a 24% year-over-year increase.

Feb. 5, 2026 at 6:23pm

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Amazon Web Services (AWS) ended 2025 with its strongest quarterly growth rate in more than three years, recording $35.6 billion in revenue in the fourth quarter, a 24% year-over-year increase. The cloud service's annual revenue run rate is now $142 billion, and it saw an increase in operating income from $10.6 billion to $12.5 billion in the same period. AWS's growth was fueled by new agreements with major companies and government entities, as well as the increasing demand for cloud and AI services.

Why it matters

AWS's continued growth and dominance in the cloud computing market highlights the increasing reliance of businesses and organizations on cloud infrastructure and services. The strong performance also underscores the company's ability to capitalize on emerging trends like the AI boom, further solidifying its position as a leading cloud provider.

The details

AWS recorded its best quarterly growth rate in 13 quarters, driven by new agreements with companies like Salesforce, BlackRock, Perplexity, and the U.S. Air Force. The cloud service also added more than a gigawatt of power to its data center network in the fourth quarter. AWS CEO Andy Jassy attributed the growth to enterprises moving infrastructure from on-premise to the cloud, as well as the increasing demand for AI workloads on the AWS platform.

  • AWS reported its Q4 2025 earnings on February 5, 2026.
  • The cloud service's annual revenue run rate is $142 billion.

The players

Amazon Web Services (AWS)

An American cloud computing platform and subsidiary of Amazon that provides on-demand cloud computing platforms and APIs to individuals, companies, and governments.

Andy Jassy

The CEO of Amazon Web Services and the CEO of Amazon.

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What they’re saying

“It's very different having 24% year-over-year growth on $142 billion annualized run rate than to have a higher percentage growth on a meaningfully smaller base, which is the case with our competitors. We continue to add more incremental revenue and capacity than others, and extend our leadership position.”

— Andy Jassy, CEO, Amazon Web Services (techcrunch.com)

“More of the top 500 U.S. startups use AWS as their primary cloud provider than the next two providers combined. We're adding significant easy to core computing capacity each day.”

— Andy Jassy, CEO, Amazon Web Services (techcrunch.com)

“We consistently see customers wanting to run their AI workloads where the rest of their applications and data are. We're also seeing that as customers run large AI workloads on AWS, they're adding to their core AWS footprint as well.”

— Andy Jassy, CEO, Amazon Web Services (techcrunch.com)

What’s next

AWS is expected to continue its growth trajectory as more businesses and organizations migrate to the cloud and adopt AI-powered services.

The takeaway

AWS's strong performance in Q4 2025, with a 24% year-over-year revenue increase and a $142 billion annual run rate, solidifies its position as the dominant cloud computing platform. The company's ability to capitalize on emerging trends like the AI boom and its continued expansion of cloud infrastructure and services position it for continued success in the cloud computing market.