Our guidance incorporates the order trends that we've seen to date and what we believe today to be appropriate assumptions. Our guidance assumes, among other things, that we don't conclude any additional business acquisitions, restructurings, or legal settlements. It's not possible to accurately predict demand for our goods and services, and therefore, our actual results could differ materially from our guidance. Starting with AWS, growth continued to accelerate, up 28% year-over-year, the fastest growth rate in 15 quarters, up $2 billion quarter-over-quarter, the largest Q4 to Q1 AWS revenue increase ever.
The last time we saw growth at this clip, AWS was roughly half the size. To put our growth in perspective, three years after AWS launched, it had a $58 million revenue run rate. In the first three years of this AI wave, AWS's AI revenue run rate is over $15 billion, nearly 260x larger. That includes model building with SageMaker, which reduces training time by up to 40%, high-performance inference with the leading selection of frontier models in Bedrock, which saw 170% growth in customer spend quarter-over-quarter.
OpenAI has said they're already seeing unprecedented demand for this new product, and we're seeing heavy customer interest as well. Customers can deploy agents with enterprise scale, security, and reliability with AgentCore, which is being used to deploy an agent as frequently as every 10 seconds. We also offer turnkey agents for coding, software migrations, business operations, and knowledge workers in Amazon Q, AWS Transform, Amazon Connect, and Amazon Quick. They're choosing AWS because we've built the broadest and most capable core offerings by a wide margin.
| Metric | Period | Current guidance |
|---|---|---|
| Net sales | Q2 2026 | $194B-$199B (FX ~10bps headwind; assumes Prime Day in Q2 for most large geos) |
| Operating income | Q2 2026 | $20B-$24B (includes seasonal SBC step-up) |
| North America cost - Amazon Leo | Q2 2026 | ~$1B YoY cost increase; commercial service on track for Q3, capitalization begins Q4 |
| Trainium3 supply | 2026 | Nearly fully subscribed; much of Trainium4 (~18 months out) already reserved |
| Metric | YoY | Note |
|---|---|---|
| Worldwide revenue | +17% (+15% ex-FX) ($181.5B) | Strong seasonal shopping events and 3P seller growth; $2.9B favorable FX. |
| Worldwide operating income | n/a ($23.9B) | Record 13.1% operating margin on efficiency across all segments. |
| AWS revenue | +28% ($37.6B) | Acceleration of 480bps on both core and AI services; strong AI/core correlation; $150B run rate, fastest growth in 15 quarters. |
| AWS operating income | n/a ($14.2B) | Strong growth plus efficiency gains, including 4x Trainium2 token-throughput improvement lifting effective capacity. |
| North America operating income | n/a ($8.3B) | 7.9% margin; 15% unit growth outpaced cost to serve as network efficiency improved. |
| International operating income | n/a ($1.4B) | 3.6% margin amid continued stores investment. |
| Chips business (Trainium + Graviton) | triple-digit YoY (+~40% QoQ) | $20B+ run rate (~$50B standalone-equivalent); one of the top-three data-center chip businesses. |
| AI revenue | triple digits ($15B+ run rate) | Bedrock spend +170% QoQ; more tokens processed in Q1 than all prior years combined. |
| Cash CapEx | n/a ($43.2B) | Primarily AWS and generative AI to support strong customer demand. |
| Topic | Previous mention | Current period | Trend |
|---|---|---|---|
| AWS growth trajectory | 24% YoY in Q4 2025 | 28% YoY in Q1 2026 (fastest in 15 quarters), $150B run rate | — |
| Backlog | $244B (Q4 2025) | $364B, excluding the new $100B+ Anthropic deal | — |
| Custom silicon / commitments | Trainium3 launching, $10B+ chip run rate (Q4) | $225B+ Trainium commitments; chips $20B+ run rate; Trainium4 largely reserved; expected to save tens of billions of CapEx/yr and several hundred bps of margin | — |
| Model choice / OpenAI | Bedrock had Anthropic, Nova, Mistral, Llama (Q4) | OpenAI GPT-5.4 added to Bedrock (5.5 soon); Bedrock Managed Agents (stateful) with OpenAI in preview | — |
| Supply chain | Not a focus previously | Memory/storage costs skyrocketing; pushing on-prem customers to the cloud since suppliers prioritize large cloud buyers | — |
| Operating margin | Strong segment margins (Q4) | Record 13.1% worldwide operating margin in Q1 2026 | — |