With AI causing skyrocketing production and data costs across the industry, Amazon could be taking the Apple route of bringing processor design in-house in an attempt to save money.
The leak comes from supply chain analyst Ming-Chi Kuo who claims that Amazon is "moving away from externally sourced processors and adopting a COT (customer-owned model)." According to Kuo, this decision was made because of the rapid expansion of AI compute and Amazon is responding by streamlining and changing things in its "non-AI businesses."
