Amazon.com Inc (NASDAQ:AMZN) said on Monday that it plans to invest up to $50 billion to build and deploy the first-ever AI and high-performance computing (HPC) infrastructure specifically for US government agencies.
The initiative, expected to begin in 2026, aims to expand computing capacity across Amazon Web Services (AWS) Top Secret, AWS Secret, and AWS GovCloud regions through new data centers equipped with advanced computing and networking technologies.
The investment is projected to add nearly 1.3 gigawatts of AI and supercomputing capacity, roughly equivalent to the power used by 750,000 US households.
Amazon said the initiative is designed to remove longstanding technology barriers for federal agencies, giving them broader access to AI capabilities to accelerate missions, including cybersecurity, drug discovery, national security, scientific research, and innovation.
Federal agencies will gain access to a wide range of AWS tools, including Amazon SageMaker for AI model training, Amazon Bedrock for model deployment, Anthropic Claude AI models, Amazon Nova, AWS Trainium AI chips, and Nvidia AI infrastructure. AWS currently supports more than 11,000 US government agencies.
AWS CEO Matt Garman said the investment will “fundamentally transform how federal agencies leverage supercomputing.”
“We're giving agencies expanded access to advanced AI capabilities that will enable them to accelerate critical missions from cybersecurity to drug discovery,” Garman said. “This investment removes the technology barriers that have held government back and further positions America to lead in the AI era."
Shares of Amazon traded 2.4% higher following the announcement Monday afternoon.