Amazon Expands Space Push with Satellite Acquisition, AWS Chip Capacity Sells Out
Amazon’s acquisition of a satellite communications provider on April 18 expands its space infrastructure, though terms remain undisclosed. Its custom Arm-based chip capacity in AWS is nearly sold out while AI-chip partner Cerebras, posting $510M revenue and $237.8M net income in 2025, filed for an IPO targeting mid-May.
1. Satellite Communications Acquisition
On April 18, Amazon completed its acquisition of a satellite communications provider to bolster its space infrastructure, marking its entry into the low-Earth orbit services market. Financial terms were not disclosed but the deal is expected to accelerate Project Kuiper deployment and enhance the company’s global network footprint.
2. AWS Custom Chip Capacity Nearing Limit
Amazon’s custom Arm-based chip capacity for AWS instances is nearly sold out, reflecting strong demand from enterprise and AI workloads. This constraint may prompt Amazon to expedite production of next-generation Graviton processors to sustain cloud growth and meet customer demand.
3. Cerebras IPO and AWS Partnership
AI-chip specialist Cerebras, which generated $510 million in revenue and $237.8 million in net income in 2025, filed for an IPO planned for mid-May. The startup has agreements to deploy its chips in Amazon data centers and a reported $10 billion deal with OpenAI, potentially enhancing AWS’s high-performance computing offerings.