AWS CFO John Felton said AI infrastructure and services spending is sustainable because it is driving material innovation and AWS’s AI capex is producing returns. As of Q2 AWS’s order backlog is nearly $500 billion across large corporates, AI labs and SMEs, which gives the company confidence in its capex plans; Felton said demand is real. He added AWS’s AI server investments have payback periods under three years and internal data show token usage scales roughly linearly with productivity gains.

AWS CFO John Felton said AI infrastructure and services spending is sustainable because it is driving material innovation and AWS’s AI capex is producing returns. As of Q2 AWS’s order backlog is nearly $500 billion across large corporates, AI labs and SMEs, which gives the company confidence in its capex plans; Felton said demand is real. He added AWS’s AI server investments have payback periods under three years and internal data show token usage scales roughly linearly with productivity gains. AWS is seeing significant investment returns and productivity improvements and plans to expand AI-related investment.