Key Highlights
- Meta Platforms has finalized a multibillion-dollar agreement with Amazon Web Services for Graviton CPU infrastructure supporting AI initiatives.
- The partnership encompasses tens of millions of AWS Graviton processing cores deployed primarily across U.S. facilities over a three-to-five-year timeframe.
- Premarket trading saw Meta shares increase 0.6% while Amazon stock jumped 1.4% after the deal announcement.
- Amazon joins Meta’s diversified chip procurement roster alongside Nvidia, Broadcom, and AMD.
- Meta now ranks among the top five AWS customers utilizing Graviton technology.
In a significant infrastructure move, Meta Platforms and Amazon have finalized a multibillion-dollar partnership that will provide Meta access to tens of millions of Amazon Web Services Graviton CPU cores for its expanding AI agent initiatives.
$META is expanding its AWS partnership to deploy tens of millions of Graviton cores, making it one of Amazon’s $AMZN largest Graviton customers. The chips will help run CPU-heavy agentic AI workloads like reasoning, search, and multi-step task orchestration. pic.twitter.com/kygaILDGRh
— Wall St Engine (@wallstengine) April 24, 2026
According to Nafea Bshara, Amazon vice president and Annapurna Labs co-founder, the partnership spans three to five years. The majority of these Graviton processing units will be situated within United States data centers.
Following the announcement, Amazon shares rose 1.4% during premarket hours, while Meta’s stock experienced a 0.6% uptick.
This partnership centers on AWS Graviton central processing units rather than graphics processing units. While GPUs dominated AI development discussions, CPUs are experiencing renewed importance.
The emergence of AI agents has shifted focus back to CPUs. These processors manage particular operations and channel workloads to GPUs, creating a synergistic relationship between both chip categories across diverse AI applications.
Additionally, CPUs prove essential during the post-training stages of large language models, where pretrained systems undergo refinement for targeted applications.
Meta selected Amazon’s Graviton5 processor, built on 3-nanometer technology, based on its cost-efficiency performance metrics. Bshara emphasized: “Meta has access to so many options from the supply side. But they chose Graviton5.”
Multi-Vendor Chip Procurement Approach
Amazon now joins Meta’s existing semiconductor supplier network, which features Nvidia, Broadcom, AMD, and Arm Holdings. Meta has consistently emphasized its strategy of avoiding dependence on any single chip provider.
“No single chip architecture can efficiently serve every computational task,” Meta stated in its official announcement.
Initial deployment will commence with tens of millions of Graviton cores, with scalability built in to accommodate Meta’s evolving AI requirements.
AI Expansion and Workforce Restructuring
Meta’s artificial intelligence strategy continues accelerating. The social media giant completed its acquisition of AI startup Manus for over $2 billion last December. Manus specializes in developing AI agents with advanced task execution capabilities, further increasing CPU infrastructure requirements.
To finance its AI expansion, Meta simultaneously revealed plans Thursday to reduce its workforce by approximately 10%—affecting roughly 8,000 employees—with cuts scheduled for May.
Earlier this month, Meta unveiled Muse Spark, its first new AI model in twelve months, with additional releases planned for the coming period.
While Meta and AWS have collaborated since approximately 2016, previous engagements primarily involved cloud infrastructure services, the Bedrock platform, and GPU cluster rentals. This agreement represents a substantial shift toward customized silicon solutions.
For Amazon Web Services, securing Meta as a Graviton client represents significant validation. Just days ago, Amazon announced a $5 billion Anthropic investment, which similarly incorporates tens of millions of Graviton CPU cores.
AWS initiated its custom chip development efforts before 2018, launching the original Graviton processor on Arm architecture that year.
Bshara confirmed that this partnership elevates Meta into the top five AWS customers for Graviton deployments.
