Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: You've built quick AI that works across all applications, but
Speaker 2: I think that the main issue or point is that
Speaker 2: it builds context over time.
Speaker 3: What were you solving for with quick.
Speaker 1: Yeah, quick quick as it's the way for companies to
Speaker 1: get AI and an AI assistant in the hands of
Speaker 1: every employee that they have across the company, and it
Speaker 1: allows customers to leverage data across all of their enterprise.
Speaker 1: But excitingly, today we're launching a desktop application and I
Speaker 1: personally have been using it for the last couple of
Speaker 1: weeks and it's the single best AI productivity enhancement I've
Speaker 1: tried of anything. It's really incredible. It allows you to
Speaker 1: work across your email, across your slack, across all the
Speaker 1: information on your desktop, quickly pull information across various different settings,
Speaker 1: and it learns with you as you go, so it
Speaker 1: learns who your coworkers are, learns who you operate with,
Speaker 1: learns who you write to. It's an incredible, incredible productivity enhancer,
Speaker 1: and it's something that launching today and really excited about.
Speaker 2: AWS is pushing deeper into applications in the agentic AI
Speaker 2: context that is everything.
Speaker 3: From healthcare, hiring, supply chain.
Speaker 2: What was the need that you saw, because that a
Speaker 2: lot of the customer of Base and aws will for
Speaker 2: something quite similar.
Speaker 1: Yeah, we think, and it's true many of our customers
Speaker 1: are going to reinvent many of the applications that are
Speaker 1: out there. But we see that with agents out there
Speaker 1: today and AI, every application is being remade. And with
Speaker 1: Amazon Quick we saw that opportunity to remake personal productivity
Speaker 1: inside of an enterprise setting. And with connect we're doing
Speaker 1: the same across many enterprise applications, whether it's with supply chain,
Speaker 1: whether it's with contact centers, whether it's with healthcare. We
Speaker 1: see the application opportunity to apply AI and agents to
Speaker 1: a number of these applications. And these are areas where
Speaker 1: Amazon has a lot of expertise and where we can
Speaker 1: add that expertise in the customers use AI to completely
Speaker 1: reimagine many of these traditional thirty forty fifty year old processes.
Speaker 2: The companies it makes you think of names like Salesforce
Speaker 2: Service now sap key customers. What kind of conversations did
Speaker 2: you have with them about why the broad suite.
Speaker 3: Through Amazon Connects is useful?
Speaker 1: Yeah, and they may these the things that we're building
Speaker 1: are actually quite complementary to many of those partner offerings,
Speaker 1: and so I think if you think about actually Connect,
Speaker 1: Connect and Salesforce have had a partnership for a really
Speaker 1: long time where many customers use those together in order
Speaker 1: to provide even better outcomes for their customers. And we
Speaker 1: think that's going to continue to be the case today,
Speaker 1: where things like Connect Decisions is really a helpful add
Speaker 1: on the customers that are doing supply chain and it's
Speaker 1: an agentic helper to help you make great supply chain decisions,
Speaker 1: but use it together with your existing supply chain solution,
Speaker 1: and so it's really complementary to many of those products
Speaker 1: that our customers and our partners build on top of
Speaker 1: AWS today.
Speaker 2: What's the strategy and goal for AWS and pushing deeper
Speaker 2: into the application layer. What do you think it will
Speaker 2: change for you rather than than what you just outlined
Speaker 2: with the customers.
Speaker 1: We've always thought that AWS and we always have produced
Speaker 1: offerings for customers at every layer of the stack. We
Speaker 1: obviously excel at the infrastructure layer, where AWS Cloud is
Speaker 1: by far the largest and the most established, and we've
Speaker 1: also built services higher up the stack, things like databases
Speaker 1: things like analytics services, things like AI services, and increasingly
Speaker 1: with Connect. For the last ten years, we've been offering
Speaker 1: applications in the top layer, and we've always said there's
Speaker 1: millions and millions and millions of customers who build applications
Speaker 1: of that top layer. We thought, we always think that
Speaker 1: we'll build a few some of those will show customers
Speaker 1: things that they're able to do with that technology. Sometimes
Speaker 1: it's to expose areas where we're experts and we think
Speaker 1: that we can provide value to customers, but we always
Speaker 1: know that there's going to be lots of players up
Speaker 1: there at the application.
Speaker 2: What AWSS too, it's about is AI revenue run rate,
Speaker 2: which getting into detail, seems to focus a lot on
Speaker 2: the frontier models, how they're access to, how they use
Speaker 2: But if you think about quick Connect applications, is that
Speaker 2: something Matt that you see making meaningful contribution in the
Speaker 2: AI revenue bucket?
Speaker 1: Absolutely we see.
Speaker 3: You're absolutely right.
Speaker 1: A lot of our AI revenue today is on Amazon
Speaker 1: Bedrock and it's through accessing frontier models. But we see
Speaker 1: that every application in the world is going to be
Speaker 1: remade with AI. We think agents are going to totally
Speaker 1: change how work is done, how jobs are efficiently done,
Speaker 1: and we think we have some opportunities to have some
Speaker 1: unique offerings in that space that really change the game.
Speaker 1: And so we think that Amazon Quick is one of those.
Speaker 1: We think Connect is one of those. We think Hero
Speaker 1: on the coding side can really help people in and
Speaker 1: when you have some of these applications, that often inspires
Speaker 1: others to build around them. And we think it's a
Speaker 1: great opportunity for us where we think we have differentiated
Speaker 1: ideas to really change how things have been done for
Speaker 1: a long time.
Speaker 2: Open AI, Yeah, what's new, what's changed in your relationship?
Speaker 1: Yeah, well, we're quite excited about the partnership that we're
Speaker 1: announcing with them today. So yeah, So for a long time,
Speaker 1: when we built Amazon Bedrock as a way for our
Speaker 1: customers to access frontier models and access AI models, we've
Speaker 1: always started with the position that we wanted to offer
Speaker 1: choice and we wanted to offer all of the best
Speaker 1: models available out there. And today we're excited to be
Speaker 1: bringing open AI into Bedrock. It's I think it's it's
Speaker 1: something that our customers have asked for for a really
Speaker 1: long time, and.
Speaker 2: We're talking specifically about frontier models, not just open weighted models,
Speaker 2: which was.
Speaker 1: That's right, We've we've had open weight models for a while,
Speaker 1: but yes, this is the frontier model. So starting in
Speaker 1: preview today we have open AI's model five point four
Speaker 1: and five to five is coming in the next couple
Speaker 1: of weeks. We're also collaborating on a new offering which
Speaker 1: we called Managed Agents featuring open Ai, which is a
Speaker 1: complete manage Asian capabilities, so customers can really easily make
Speaker 1: stateful agents and build agentic applications together with Bedrock and
Speaker 1: open Ai. And it's really just the start of a
Speaker 1: long term partnership that we've established together. As the teams
Speaker 1: have gotten together, we see opportunity for us to really
Speaker 1: invent new capabilities for our customers to go and build
Speaker 1: interesting applications together. And really excited about working together with
Speaker 1: the open ai team and unlocking more things that customers
Speaker 1: can build on AWS.
Speaker 2: Think back to twenty twenty three, open AIS models were
Speaker 2: only available in Azure. Right since then until now, what
Speaker 2: kind of behaviors did you recognize in the AWS customer base?
Speaker 2: Did they literally open it as your accounts so that
Speaker 2: they could have access to something that wasn't available in AWS?
Speaker 2: And that was kind of the indicator to you that
Speaker 2: you needed to make our codels.
Speaker 1: Customers have long told us they want to be able
Speaker 1: to use the absolute best cloud with the best set
Speaker 1: of models available, and they wanted to run all their
Speaker 1: applications in AWS, and they weren't able to run and
Speaker 1: they did every and they did oftentimes, our customers run
Speaker 1: every part of their application in AWS, and then they
Speaker 1: access if they wanted to use open AA models, they'd
Speaker 1: either use them direct from them in their first party
Speaker 1: or through Azure or somewhere else. Now they don't have
Speaker 1: to make that trade off. And with the open AI
Speaker 1: team and the AWS team, we're really excited to not
Speaker 1: have to force customers into that choice. And if they
Speaker 1: want to build all in the AWS set of tools
Speaker 1: and capabilities, it's where their applications run, it's where most
Speaker 1: customers store their data, it's where they feel most secure,
Speaker 1: and they can now run that together with open AI models,
Speaker 1: together with the whole suite of models that we have
Speaker 1: in AWS, including Anthropic models, including open models, including Nova models,
Speaker 1: a whole set of models, and they can combine the
Speaker 1: best of what they want to do in order to
Speaker 1: build their applications.
Speaker 2: It's early days I appreciate that, But what is the
Speaker 2: sort of one metric you could point me too that
Speaker 2: gives you the conviction there is absolutely demand there at
Speaker 2: the enterprise level or otherwise for open AIS models.
Speaker 1: Well, look, I think the team announced a statistic recently
Speaker 1: that Codex, which is also available in AWS in previews
Speaker 1: starting today in the last couple of weeks, has grown
Speaker 1: from two million users to four million users in just
Speaker 1: a really short amount of time.
Speaker 3: That is incredible.
Speaker 1: I mean, that is really unprecedented growth and it just
Speaker 1: shows that they're building really, really capable.
Speaker 3: Opportunities out there.
Speaker 1: But our customers still say, I would love to access
Speaker 1: and power Codex through Bedrock, so I have the security
Speaker 1: of Bedrock and AWS. Now with the launches today, all
Speaker 1: of those millions and millions of customers that are loving
Speaker 1: Codex can choose Bedrock as the provider and get the
Speaker 1: AWS security that comes behind that.
Speaker 2: I think about Claude is a comparisonal case study, right, Yeah.
Speaker 2: What was so interesting about claud through Bedrock is anthropic
Speaker 2: got the benefit of a platform.
Speaker 3: That's right.
Speaker 2: You channeled business to them, that's right. But equally people
Speaker 2: want to use Claude, so that channeled business to Bedrock.
Speaker 3: That's right.
Speaker 2: Do you see that playing out similarly with open Ai?
Speaker 1: That's exactly what one of the things that the Opening
Speaker 1: It team is so excited about is partnering with AWS.
Speaker 1: Is that exact partnership And I think it's one of
Speaker 1: the things that we do well at AWS is partner
Speaker 1: with folks that we're building together with and just like
Speaker 1: with Anthropic, which we have a fantastic partnership with, and
Speaker 1: we've really built this business together with Anthropic where we
Speaker 1: lean into them, we help their customers build applications on
Speaker 1: top of AWS and find out the best ways to
Speaker 1: use their claud models, and we've seen their business really
Speaker 1: take off. And that's what we anticipate doing with open
Speaker 1: a team as well.
Speaker 2: Have you Matt had to make an assessment of how
Speaker 2: much of the spending that Amazon's committed to is literally
Speaker 2: dedicated to open Ai infrastructure wise to support the ramp
Speaker 2: up of availability.
Speaker 1: Yes, well, we absolutely are expecting a lot of growth there,
Speaker 1: which we're quite excited about. And Opening Eyes made a
Speaker 1: large commitment to AWS right to use Trainium in particular,
Speaker 1: but across our AWS services to to grow their business
Speaker 1: and so so yes, they're they're strongly committed to growing
Speaker 1: their footprint on top of a WS and we expect
Speaker 1: bedrock to grow really rapidly as well.
Speaker 2: Does the demand meet the infrastructure that's been put in place?
Speaker 2: Where are we in the balance between future supply and
Speaker 2: current demand?
Speaker 1: There is still I think more demand out there than
Speaker 1: there is supply, right for sure?
Speaker 3: And is that true of open AI. I can appreciate
Speaker 3: were in preview as you speak.
Speaker 1: Well, yes, it's it's it's the first day, so I
Speaker 1: can't tell you that, yes, but but yes, the the
Speaker 1: open A team, I think would would gladly take more
Speaker 1: capacity from us this year and next year in the
Speaker 1: year after that as we add it. And so we're
Speaker 1: we're still working really hard to continue to add more capacity,
Speaker 1: whether it's power, whether it's chips, whether it's memory, all
Speaker 1: around the world. And I think that you know, we're
Speaker 1: we're planning for success across many dimensions there. And but yes,
Speaker 1: today the world is still largely supply constrains when it
Speaker 1: comes to AI capacity.
Speaker 2: We are in a strange situation where open AI models
Speaker 2: can now run on aws, but Microsoft will benefit financially
Speaker 2: because the latest terms of their agreement they've ended exclusivity,
Speaker 2: but OpenAI continues to make payments to Microsoft.
Speaker 3: Ye, how do you think about that?
Speaker 1: Oh, that's okay. Look, Microsoft has benefited from the growth
Speaker 1: of AWS since the very early days. In fact, we've
Speaker 1: supported Windows licenses as an example, I think since two
Speaker 1: thousand and seven, two thousand and eight, I can't remember
Speaker 1: the exact year. But so Microsoft has benefited. They build
Speaker 1: great software, they have good partnerships, and they should benefit
Speaker 1: from those, but customers really want to use those technology.
Speaker 1: SQL server is a good example that runs great on ABS.
Speaker 1: In fact, many of our customers tell us that sql
Speaker 1: server runs better, way better on AWS than it does
Speaker 1: on Azure. And so for those customers, running an ABS
Speaker 1: is where they get the best reliability, the most security,
Speaker 1: and the broadest set of features.
Speaker 3: And so that's great.
Speaker 1: And if Microsoft benefits because their software or their partnerships
Speaker 1: or their licenses are being used inside of ABS, that
Speaker 1: that's great. And in this case, we partner with Microsoft
Speaker 1: just like we partner with Oracle and other providers that
Speaker 1: build software, and we want to make all capabilities available
Speaker 1: on ABS for people to build.
Speaker 3: You built bedrock and.
Speaker 2: Stateful run time at a time where access to models
Speaker 2: was constrained. Now, if open ai is the case, it's
Speaker 2: available broadly everywhere. You know, what's the benefit of accessing
Speaker 2: it through AWS? What's the pitch really? I mean for
Speaker 2: the and we're calling this Managed Agents is managed Eliden.
Speaker 2: We called it Stateful Runtime before, but the launch name
Speaker 2: of it is called Managed Agents, and it's just we're
Speaker 2: just as excited about that as we've ever been. By
Speaker 2: the way, so that that that product.
Speaker 1: Is something that we Why does a customer need to
Speaker 1: use ABUS? That's the simple question, why do you want
Speaker 1: to use AWS? Well, this is the only place that
Speaker 1: we'll have this managed Agent's product together with with open Ai,
Speaker 1: and we think it's going to be the single best
Speaker 1: and easiest way for you to go and build agentic
Speaker 1: applications that learn with you over time, that get better
Speaker 1: over time. It's a really simple way to It includes
Speaker 1: kind of this agentic harness and a bunch of these
Speaker 1: pieces together that makes it really easy to build agents
Speaker 1: that leverage the latest frontier models from open Ai. And
Speaker 1: so we're very excited about that product. We think that
Speaker 1: that is going to take off. Like investors, it's launching
Speaker 1: in preview today as well, and it'll be ga here
Speaker 1: in the next couple of weeks, and we think that
Speaker 1: customers are going to really love how easy it is
Speaker 1: to build agentic applications with that product.