- Amazon CEO says company now sees itself as the world’s largest startup
- Aggressive AI investments are key to future growth
- CEO Andy Jassy continues to advocate for in-person working
Emphasizing how aggressive investments into artificial intelligence can realize long-term financial gains, Amazon CEO Andy Jassy noted in his most recent shareholder letter that it intends to spend over $100 billion on capital expenditure in 2025, with most of it going to AWS AI projects.
He described A tech as a “once-in-a-lifetime reinvention of everything we know,” with promises to revolutionize everything from customer experiences to workplace productivity.
The letter came around two months after the ecommerce and cloud computing giant posted its fourth-quarter and year-end financial results for 2024, with total revenue up 11% year-over-year to $638 billion.
Aggressive AI investment for Amazon
Jassy added the, “rapid rate of change in technology, customer habits, and new products” makes it hard for Amazon to deliver year after year on its core goal: “to be Earth’s most customer-centric company.”
On a similar note to Shopify CEO Tobias Lutke’s recent comment about long-term learning, Jassy also advocated for leaders and workers to continue learning throughout their entire career.
It’s not just aggressive investments that liken Amazon to some startups – the CEO highlighted how organized chaos can also create a more innovative environment. “[Tolerate] messy meetings,” he said… “You can’t book 60 minutes to invent Amazon Prime, or AWS.”
Where Amazon might differ from smaller and more modern companies is in workforce agility and flexibility, because it is notoriously pro-office-based working.
In recent post-pandemic years, the company has pushed for a widespread return-to-officeand Jassy reiterated the purported increase in ad-hoc collaboration and brainstorming when workers are together.
As his letter draws to a close, Jassy highlights seven traits that make Amazon similar in nature to startups: a focus on solving a real customer problem or meaningfully improving a customer experience; a need for ‘builders’ who dissect and improve; a desire for ‘owners’ who take responsibility; speed; relative team leanness; a willingness to take risks; and a commitment to deliver results for customers.