Uber shifts to Amazon's custom chips for smoother rides
What's the story
Uber has announced a major expansion of its contract with Amazon Web Services (AWS), the cloud computing arm of tech giant Amazon. The deal will see Uber move more of its ride-sharing features onto AWS's custom chips, including Graviton and Trainium3. This is a significant shift from Uber's previous reliance on its own data centers, and multi-year cloud computing deals with Oracle and Google.
Strategic shift
Uber's cloud transition journey
The move to AWS comes as part of Uber's broader strategy to transition from on-premise data centers to the cloud. The company started this journey in February 2023, using Oracle Cloud Infrastructure (OCI) and Google Cloud platform. The shift is not just about moving massive workloads but also introducing Arm-powered compute instances into a previously x86-dominated environment.
AI advancement
Benefits of the expanded AWS contract for Uber
The expanded contract with AWS will allow Uber to leverage Amazon's Graviton chips for smoother rides and deliveries. It will also use Trainium processors to train the AI models that power its apps. This move is part of Uber's efforts to optimize its digital interface, speed up ride-matching, and personalize user experiences.
Market strategy
Amazon's investment in custom chips
Amazon is also heavily investing in its custom chips to attract enterprise customers. The company hopes to cash in on the growing demand for AI model training and inference. In December 2025, Amazon CEO Andy Jassy revealed that Trainium had already become a multibillion-dollar business.