Latest / MAG 7 Daily / Ep 32: Amazon's cloud is largely sold out through 2027, pinning AI labs to capacity already booked.

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Ep 32: Amazon's cloud is largely sold out through 2027, pinning AI labs to capacity already booked. · MAG 7 Daily

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  Amazon's cloud is largely sold out through 2027, pinning AI labs to capacity already booked.
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  This is MAG 7 Daily, episode 32. After that booking, google's ad line, apple's evidence
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  fight, and shuttered french stores, then the counterpoint, aerobotaxi thread, and the calendar.
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  Andy Jassy said Friday on a video podcast with Andreson Horowitz co-founder Ben Horowitz,
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  and General Partner Eric Tornberg, that Amazon cannot keep up with AI labs and enterprises.
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  He said 2026 capacity is already sold out, and a good chunk of 2028 is committed to.
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  Amazon reports third quarter results on October 29. Earlier this year, the company put 2026
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  capital spending at about $220 billion. Jassy added that Amazon could invest a lot more,
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  and that it would not be a bad use of capital.
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  Yesterday, the spend race was the story.
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  Today, the capacity those dollars buy
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  is what he says is already booked.
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  Google rewrote a privacy line on October 16th.
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  The old text said personalized ads
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  were not based on drive, Gmail, or photos content.
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  RS Technica reports the new sentence
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  keeps that limit only unless a person chooses
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  to share that data with other Google services
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  that support personalized ads.
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  Turning on personal intelligence, out since early 2026, is the switch that hands several
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  apps' data to Google's AI products.
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  The policy's own example says search may use data a person allows it to see in order
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  to personalize content, including ads.
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  Personal intelligence stays opt-in, and Google still says advertisers do not get a name
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  or email address without permission.
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  Apple and the U.S. Department of Justice are split in a filing this week over how recent
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  the documents in their antitrust case must be. They had agreed to a June 20th, 2025 cutoff.
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  Evidence gathering now runs to late May 2027, and department lawyers want records created up to
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  30 days before that end, to test whether the alleged conduct is still going. Apple says widening
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  the search would push the case back several months. The company says it has already reviewed more
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  than 11 million documents and produce more than 2 million spanning 18 years.
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  The case filed in March 2024 accuses Apple of illegally guarding a smartphone monopoly
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  by limiting rival apps, services, and devices.
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  Apple denies that.
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  The filing asks the court to note that the two sides cannot fix the document fight on
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  their own.
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  Seven Apple stores in France are shut today, before another round of demonstrations.
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  Mac rumors, citing Mac Generation, names all three Paris locations,
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  Shams Alize, Opera, and Marshae, Saint Germain, plus Bordeaux, Saint Catherine,
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  Lille, Strasbourg, and Exome Provence.
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  Those seven open onto the street.
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  Mall stores were expected to stay open.
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  Looters hit Lille and Bordeaux on October 17,
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  along with many other businesses.
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  The Associated Press said the protests are about living costs and school conditions.
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  hundreds of thousands marched peacefully that day.
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  Violence and looting broke out in several cities.
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  Afterward, reports described stolen iPhones flashing warnings that they were disabled and
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  being tracked, with instructions to take them back to the store they came from.
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  List signal posted a video that purportedly shows the message.
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  The UK put 100 million pounds, reported as $134 million, into an AI Biosecurity Lab backed
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  by OpenAI, Anthropic, and Google Deep Mind. Bloomberg cast the lab as one piece of a wider
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  effort to help the government see and handle risks from the technology.
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  Helen Chiang is leaving Microsoft, an internal Xbox memo seen by the Verge says.
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  She was the division's first chief operating officer, a job created only a few months ago.
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  She spent 21 years at the company and ran Minecraft before the Xbox role.
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  The memo says today is her last day.
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  The Financial Times frames a proposed Tesla Space X merger as a wager that goes all in
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  on AI.
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  A Bloomberg run down the same day said Elon Musk wants that combination.
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  What cuts against reading Amazon's cloud as fully closed is chassis's own caveat.
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  He said the company always holds some capacity back for on-demand use, for bedrock, or
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  for EC2, and that the sold out part is the big chunks.
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  EC2 is the service that rents cloud servers.
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  Bedrock is how customers reach AI models to build generative apps.
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  He never sighs that leftover slice.
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  Set next to the $220 billion already planned.
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  His remark that more spending would not be a bad use of capital is the open question.
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  The stated check does not on his account finish the demand.
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  Waymo and Tesla are the two robotaxi bets trading key lines up, and Waymo's paid book
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  is the number that separates them.
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  time. By March 2026, weekly paid driverless orders were about 500,000. Waymo belongs to
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  Google parent Alphabet. Service or deployment already reaches 10 major U.S. cities, and
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  the company wants to push toward 1 million weekly orders by the end of the year. A driverless
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  ride-hailing service in Toronto is planned for 2028, the first Canadian market. Cars go
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  on to local roads soon for manually driven mapping and testing.
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  Eleament fleet management takes fleet maintenance, customer service, and daily operations.
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  Passenger service still needs local approval, and the testing sits in Ontario's automated
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  vehicle pilot program.
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  Toronto is also the weather exam, ice, snow, cold, and dense city traffic.
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  A 2028 passenger start still hangs on those tests and on policy.
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  Tesla's service is already in multiple cities in Texas and Florida.
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  The first cybercabs, with no steering wheel and no pedals, went into operation in Austin
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  in September.
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  The wider network still uses the model Y, so early growth does not wait on a dedicated
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  factory line.
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  Trading key calls Tesla's Edge vertical integration, manufacturing, driving software, charging,
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  and the ride hailing platform in one company.
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  The same piece says that if a cybercab can be built below $30,000, and if existing factories
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  convert to Robotaxi production, the per vehicle cost could land well under Waymo's multi-sensor
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  cars. That price is trading key's condition, not a Tesla figure in the article. Waymo's
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  stack is geofence level 4, cameras, lidar, and millimeter wave radar, plus high-definition
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  maps and remote operation. Every new city needs mapping, edge case checks, and talks with
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  regulators, which trading key says slows the rollout and lifts hardware and operating
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  cost. Tesla leans on a camera-heavy vision system and neural nets. Trading Key says cars
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  without traditional controls face significant regulatory hurdles. Waymo can take an order
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  in its own app or through Uber, depending on the city. Waymo's published comparison puts
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  the rate of crashes with serious injury or death about 95% below human driving on the same roads.
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  Trading Key also notes related research with lower rates in some pedestrian, cyclist,
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  and intersection crashes, and says those results still have to be read with the operating area,
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  the road types, and the method. Alphabet's company already has the paid rides, the city count,
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  and a safety number regulators can read, and it pays with a slower city by city build.
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  Tesla's side of the piece is the cheaper copy and a model Y fleet already on the road,
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  against a thinner operating scale and an open question on cars that have no wheel and no pedals.
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  The dated step in the article is still Toronto in 2028, and only if tests and local rules allow passengers then.
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  On the calendar, Apple's three Paris Stores, Bordeaux St. Catherine, and Exxon Provence list Sunday hours from noon to 6,
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  while Leal and Strasbourg stay shut Sunday and reopen Monday.
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  Microsoft said Ignite for November 17th through the 21st.
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  Prime Minister Anwar Ibrahim said Malaysia's security cannot be compromised, kept a partial
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  ban on Google's ways and did not rule out wider limits.
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  Google shipped Chrome OS 156 with Gemini talk to type dictation and video summaries on Chrome
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  Book Plus.
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  A report carried by 9-5 Macs as China's smartphone shipments fell 10% year-over-year in the third
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  quarter, a 14-year low, with memory prices weighing on the market and Apple gaining ground.
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  Apple TV subscribers in the United States can watch Formula One live in Dolby Atmos starting
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  with this weekend's United States Grand Prix.
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  Stefan Essert told Heizy there will not be an end-user tool, a proof-of-concept may follow,
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  and most of those bugs are fixed in the coming iOS 27.2 update.
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  Google Health 5.11 is rolling out this week for Fitbit trackers and the Pixel Watch, with
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  Fitbit Air Health Guardian and Better Sleep Tracking.
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  Purdue University, Northwest is giving first-year students Google Gemini licenses for artificial intelligence literacy.
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  Apple ceded a second watch OS 27.2 release candidate, build 24 S-118, four days after the first.
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  It adds Siri AI in French, Japanese, Korean, Portuguese, and Spanish.
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  And Siri AI is not available in the EU or mainland China, with a public launch expected next week.
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  Before we go, the court still has to decide how the Apple document fight moves, including
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  whether newer records must be produced.
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  That's Mag 7 Daily for today.
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  Nothing in this show is financial advice.
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  I'm Patrick in Vancouver.
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  See you tomorrow.
• 9:46
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• 10:10
  This episode used AI voice synthesis of my voice.
• 10:14
  Editorial selection and analysis are my own.