Amazon ( (AMZN) ) has been popular among investors this week. Here is a recap of the key news on this stock.
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Trade AMZN with leverageAmazon is tightening its grip on two key growth engines – cloud AI and streaming – with moves that could matter for long‑term investors. In cloud, Amazon Web Services will pair its in‑house Trainium 3 chips with startup Cerebras Systems’ massive Wafer Scale Engine processors from the second half of 2026, targeting faster, more efficient AI inference for corporate customers.
The hybrid chip design splits AI workloads between Trainium for “prefill” prompt processing and Cerebras for response generation, promising lower latency than traditional multi‑chip setups. The collaboration also gives Cerebras a high‑profile platform as it seeks to challenge Nvidia, while reinforcing AWS’s ambition to own more of its AI stack and potentially improve margins as AI cloud demand accelerates.
On the consumer side, Amazon is pushing pricing power in streaming with a new Ultra tier for Prime Video in the U.S., set to replace the ad‑free plan on April 10. Priced at an extra $4.99 per month, Ultra offers ad‑free viewing, 4K/UHD, Dolby audio, up to five concurrent streams, and 100 offline downloads, though sports may still carry ads because of sponsorship and licensing deals.
Standard Prime Video customers can stay on a cheaper HD plan that now supports four concurrent streams and 50 downloads, signaling Amazon’s bid to upsell heavy streamers while retaining price‑sensitive users. For equity markets, analysts remain firmly bullish: AMZN carries a Strong Buy rating from over 40 Wall Street analysts, with an average price target around $279.88 implying roughly 33%–35% upside from current levels.