Amazon is set to release its third-quarter earnings on Thursday, with Wall Street closely watching updates on its cloud computing division, AWS, and the company’s progress in artificial intelligence. CEO Andy Jassy is expected to provide key insights into how Amazon is advancing its AI initiatives and how AWS continues to perform amid growing competition. Analysts anticipate Amazon will report revenue of $177.8 billion for the quarter, with earnings per share estimated at $1.58. These figures reflect continued growth in Amazon’s core e-commerce operations, but investors are particularly focused on the performance and future trajectory of AWS, which remains a major profit driver. AWS has been under increasing pressure as rivals like Microsoft Azure and Google Cloud expand their AI-integrated services. Amazon has responded by integrating generative AI tools into its cloud offerings, including new features for developers and enterprise clients. The company has also been investing heavily in AI infrastructure, including custom chips and large-scale data centers. In recent months, Amazon has launched several AI-powered products and services, such as expanded capabilities in Amazon Bedrock, its AI model service, and enhancements to its Alexa and Amazon Q, the AI assistant for business users. These moves are seen as critical to maintaining Amazon’s leadership in the cloud and AI space. Wall Street is also monitoring how Amazon balances its AI ambitions with profitability. While AI investments are expected to drive long-term growth, they may temporarily impact margins. Investors will be looking for signals on whether Amazon’s AI strategy is translating into tangible revenue and customer adoption. The earnings call will also likely touch on broader trends, including inflationary pressures, supply chain dynamics, and the pace of innovation across Amazon’s diverse business units. With AI reshaping the tech landscape, Amazon’s ability to innovate and scale its AI offerings could be a decisive factor in its stock performance and investor sentiment.