Amazon's cloud-computing unit reported more rapid third-quarter growth than analysts had projected.
Revenue came in at $45.98 billion, up 39% year over year and above the $45.29 billion consensus among analysts polled by StreetAccount, according to a statement. Growth in the second quarter came in at about 37%.
"Our core compute and storage revenue grew at their fastest rates in several years," Amazon CEO Andy Jassy said on a conference call with analysts. The AWS growth rate was the highest since the fourth quarter of 2021.
Amazon remains the top cloud by revenue, but growth has also sped up at rivals Alphabet and Microsoft. On Wednesday Alphabet said the Google Cloud business, which contains infrastructure and Google Workspace subscriptions, more than doubled in the third quarter.
All the major clouds have been racing to build data centers that can accommodate high artificial intelligence demand. During the quarter, AWS announced plans to expand its portfolio of Nvidia graphics processing units that can handle AI workloads.