Amazon to Pour $50B Into AI and Supercomputing for the U.S. Government

“This investment removes the technology hurdles that have held public agencies back,” said Matt Garman, CEO of Amazon Web Services.

Amazon employees are not too happy

Quick overview

  • Amazon plans to invest up to $50 billion to enhance AI and supercomputing capabilities for U.S. government clients.
  • The initiative will add nearly 1.3 gigawatts of new computing power through advanced data centers, starting in 2026.
  • This investment aims to eliminate technology barriers for public agencies and expand access to AWS's AI tools.
  • AWS currently serves over 11,000 federal, state, and local agencies as a primary cloud provider for the U.S. public sector.

Amazon will add nearly 1.3 gigawatts of new AI and high-performance computing capacity across its AWS Top Secret, AWS Secret, and AWS GovCloud regions. “It removes long-standing technology barriers,” said CEO Matt Garman.

Amazon is investing heavily on AI.

Amazon has announced plans to invest up to $50 billion to expand artificial intelligence and supercomputing capabilities for U.S. government clients—one of the largest cloud-infrastructure commitments ever made to the public sector.

The project, expected to begin in 2026, will add nearly 1.3 gigawatts of new AI and high-performance computing power through new data centers equipped with advanced compute and networking systems.

To put that in perspective, a single gigawatt of computing power is roughly enough to supply electricity to about 750,000 U.S. homes.

“This investment removes the technology hurdles that have held public agencies back,” said Matt Garman, CEO of Amazon Web Services.

The U.S. government’s cloud backbone

AWS is already one of the main cloud providers for the U.S. public sector, serving more than 11,000 federal, state, and local agencies.

Tech giants—including OpenAI, Alphabet, and Microsoft—are pouring billions into AI infrastructure, driving demand for massive computing power.

Amazon’s initiative aims to give federal agencies broader access to AWS’s full suite of AI tools, including Amazon SageMaker for model training and customization, Amazon Bedrock for deploying AI models and agents, and foundation models such as Amazon Nova and Anthropic Claude.

ABOUT THE AUTHOR See More
Ignacio Teson
Economist and Financial Analyst
Ignacio Teson is an Economist and Financial Analyst. He has more than 7 years of experience in emerging markets. He worked as an analyst and market operator at brokerage firms in Argentina and Spain.

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