TradingKey – On May 28 ET, Snowflake ( SNOW) shares surged as much as 40% intraday and closed up 36%. The rally was driven by earnings that beat market expectations and the company’s announcement of a partnership with Amazon ( AMZN )’s AWS for a five-year cloud and AI infrastructure deal totaling approximately $6 billion.
SNOW intraday price chart, Source: FUTUBULL
According to The Wall Street Journal, Snowflake will pay AWS approximately $6 billion over the next five years to utilize Amazon Graviton chips in AWS data centers, a deal that makes Snowflake one of AWS’s largest CPU computing customers.
This collaboration illustrates that Snowflake is preemptively expanding its underlying computing capacity for AI agents and enterprise AI…
