Amazon.com will supply OpenAI with cloud computing services under a multi-year $38 billion deal, giving the ChatGPT maker access to hundreds of thousands of Nvidia graphics processors to train and run its artificial intelligence models.

Experts say the incident revealed what can happen when a such a broad spectrum of companies rely on singular cloud provider.

Overall, Amazon's revenue rose by 13% year over year to $180.2 billion, which came in above the $177.8 billion analyst consensus, as compiled by LSEG. Earnings per share climbed 36% to $1.95, which easily surpassed analyst expectations of $1.57.

User complaints surged on tracking site DownDetector just after noon Eastern time, with most reports concentrated in the company’s US-EAST-1 region.

When Amazon Web Services suffered an outage on Monday morning, it practically took down the internet with it. There went all of Amazon’s services, from its shopping hub to its Ring doorbell cameras. ChatGPT went quiet. “Smart” mattresses became unsleepable. Video games like Fortnite blinked out, as did platforms like Snapchat and banking apps.

Amazon will report earnings after the closing bell on Thursday. Analysts want updates on AI progress, AWS, and retail margins.

The cloud-computing division of the internet giant is used by thousands of internet customers, many of whom reported disruptions on Monday.

Analyst expectations coming into the Q3 quarterly release are for Amazon to report $177.8 bln in revenue, $1.58 in EPS, and $23.7 bln in operating income. Read more

Amazon's stock popped 13% on Thursday afternoon, fueled by huge Q3 growth at AWS. The earnings call with analysts is scheduled for 5 p.m. ET.