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AWS Targets Hybrid AI With On-Prem ‘AI Factories’ and Trainium3 UltraServers at re:Invent

The offerings target enterprises that want AWS AI capabilities inside their own data centers.

Overview

  • AWS introduced AI Factories that operate like a private AWS region on customer premises, bundling Trainium- or Nvidia-powered UltraServers with access to services such as Bedrock and SageMaker.
  • Trainium3 became generally available in UltraServers, with AWS touting major efficiency gains including support for up to five times more AI tokens per megawatt versus Trainium2 systems.
  • CEO Matt Garman said Trainium is a multi‑billion‑dollar business with more than one million chips deployed and that most inference on Amazon Bedrock already runs on Trainium.
  • Benzinga reported Andy Jassy’s claim that Trainium3 delivers roughly 4x performance and energy-efficiency improvements over Trainium2, as AWS also pushes Nova Forge and new autonomous agents.
  • Analysts said the AI Factories move meets sovereignty and cost needs but questioned how AWS will differentiate and scale services against entrenched on‑prem rivals such as Dell, HPE and Lenovo.