Building the Cloud for AI Agents | AWS CEO Matt Garman

a16z’s Raghu Raghuram sits down with AWS CEO Matt Garman to discuss how AI is reshaping the cloud, from the needs of AI-native startups to infrastructure increasingly designed for agents. Matt explains how AWS is adapting as agents write code and manage infrastructure, why it’s reserving scarce GPU capacity for startups, and where custom chips like Trainium and Graviton fit into the AI stack. They also discuss Amazon's $220 billion capital investment, the shifting bottlenecks in the infrastructure buildout, what enterprises need to trust autonomous agents, and how AWS's own teams are building with agents. Timestamps: 00:00 - Intro 00:55 - $169B, growing 37% 02:51 - Why startups are the lifeblood 12:26 - Rethinking cloud for agents 16:24 - The GPU allocation problem 21:27 - Is the AI CapEx a bubble? 30:22 - Clearing up data center myths 33:07 - The Graviton and Trainium bet 40:06 - Where enterprises are stuck on agents 45:43 - AI risk, Hugging Face, and Continuum Resources: Follow Matt Garman on X: https://x.com/mattsgarman Follow Matt Garman on LinkedIn: https://www.linkedin.com/in/mattgarman Follow Raghu Raghuram on X: https://x.com/RaghuRaghuram Learn more about AWS: https://aws.amazon.com/ Stay Updated: If you enjoyed this episode, be sure to like, subscribe, and share with your friends! Find a16z on X: https://twitter.com/a16z Find a16z on LinkedIn: https://www.linkedin.com/company/a16z Listen to the a16z Show on Spotify: https://open.spotify.com/show/5bC65RDvs3oxnLyqqvkUYX Listen to the a16z Show on Apple Podcasts: https://podcasts.apple.com/us/podcast/a16z-podcast/id842818711 Follow our host: https://x.com/eriktorenberg Please note that the content here is for informational purposes only; should NOT be taken as legal, business, tax, or investment advice or be used to evaluate any investment or security; and is not directed at any investors or potential investors in any a16z fund. a16z and its affiliates may maintain investments in the companies discussed. For more details please see http://a16z.com/disclosures.