Amazon Web Services (AWS), the cloud computing and services subsidiary of e-commerce giant Amazon, reported on Thursday that it earned a revenue of $29.3 billion in Q1 2025. This marks a 17% year-over-year increase. However, this growth is slightly lower compared to the 18.9% year-over-year increase recorded in Q4 2024.
“Before this generation of AI, we thought AWS had the chance to ultimately be a multi hundred billion dollar revenue run rate business. We now think it could be even larger,” said Andy Jassy, CEO of Amazon in the earnings call.
Recently, Alphabet, in the Q1 2025 earnings, stated that Google Cloud revenues represented a 28% year-over-year growth to $12.3 billion.
On the other hand, Microsoft reported Q1 2025 revenue from the Intelligent Cloud segment was $26.8 billion, a 21% increase. This included a 22% rise in server products and cloud services revenue, led by a 33% growth in Azure and other cloud services.
In Q1 2025, AWS expanded its AI portfolio with major releases under the Amazon Nova family. This includes Nova Sonic, a speech-to-speech foundation model for building human-like voice agents, Nova Act SDK, designed to enable AI agents to take browser-based actions, and Nova Premier, a multimodal model for complex tasks like coding and video understanding.
The company also added new third-party foundation models to Bedrock, including Claude 3.7 Sonnet from Anthropic, DeepSeek’s R1, Meta’s Llama 4, and Mistral’s Pixtral Large.
Recently, it announced an update to Amazon Q Developer, which now supports languages such as Chinese, Hindi, Spanish, French, Korean, and Portuguese, enabling natural conversations in multiple development environments.
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