Amazon Vs. Microsoft: What Amazon’s $25 Billion Bond Tranche Says About Mag 7 Competition

Quick Read

• AWS grew 28% astatine its fastest gait successful 15 quarters, but Amazon's customized silicon moat makes AMZN the stronger AI infrastructure stake implicit MSFT.

• Andy Jassy expects Trainium's $225 cardinal successful commitments to prevention tens of billions successful yearly CapEx portion Amazon's escaped currency travel has already collapsed 95%.

• Act now: the expert who called NVIDIA successful 2010 conscionable named his apical 10 AI stocks — and Microsoft didn't marque the cut. Grab the names FREE today.

Amazon (NASDAQ:AMZN) and Microsoft (NASDAQ:MSFT) some filed net connected April 29, 2026, framing 2 antithetic bets connected the AI buildout. Amazon leans connected customized silicon and, per a $25 cardinal multi-tranche enslaved sale, to money infrastructure. Microsoft leans connected its OpenAI involvement and contracted backlog. Same tailwind, antithetic equilibrium sheets.

AWS Reaccelerates While Azure Sprints Ahead

Amazon posted EPS of $2.78 against a $1.653 estimation connected gross of $181.52 billion, up 16.61%. AWS grew $37.59 cardinal successful revenue, increasing 28%, the fastest gait successful 15 quarters, astatine a 37.7% operating margin. Ads cleared $70 cardinal trailing, a existent 2nd engine.

Microsoft delivered EPS of $4.27 versus $4.09 expected connected $82.89 cardinal successful revenue, up 18.3%. Azure grew 40% (39% changeless currency), and the AI concern deed $37 cardinal yearly tally rate, up 123%. Commercial remaining show obligations reached $627 billion, astir doubling year-over-year, contracted request years out.

Custom Silicon Vs. Contracted Compute

Andy Jassy said Amazon's chips concern is astatine $20 cardinal tally complaint with triple-digit growth, with full Trainium commitments reaching implicit $225 billion, including up to 5 GW from Anthropic and 2 GW from OpenAI starting successful 2027. Jassy expects Trainium to prevention "tens of billions of dollars of CapEx each year".

Act now: the expert who called NVIDIA successful 2010 conscionable named his apical 10 AI stocks — and Microsoft didn't marque the cut. Grab the names FREE today.

Microsoft's leverage is contractual. Satya Nadella framed the 4th astir delivering "cloud and AI infrastructure and solutions" for the agentic era. Microsoft leans heavy connected NVIDIA silicon and its OpenAI partnership, enormously profitable but leaving little optionality connected chips than Amazon has built.

The Capex Bill Is About To Get Louder

Amazon's TTM escaped currency travel collapsed 95% to $1.2 billion, and semipermanent indebtedness jumped to $119.1 cardinal from $65.6 billion. Polymarket traders delegate 87.5% probability that 2026 capex tops $200 billion, with a coin-flip connected $220 cardinal oregon more. Microsoft's CapEx surged 84.39% year-over-year, and absorption stayed quiescent connected numeric guidance. I privation to spot whether AWS margins clasp arsenic this currency deploys.