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How AWS-style cloud crashes can hamper AI march

Mint New Delhi

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October 22, 2025

The global outage of Amazon Web Services (AWS) that knocked thousands of websites and apps is a warning for firms rapidly scaling for the artificial intelligence (AI) era, and have moved huge workloads to the cloud. Mint explains why they can't afford to ignore this risk.

- BY LESLIE D'MONTE

1 What is the AWS outage all about?
On Monday, AWS, Amazon's cloud computing arm suffered a major global outage that hit thousands of online platforms. AWS attributed this to a domain name server (DNS) issue that prevents devices from locating websites even though they are running since the system translates website names into internet protocol (IP) addresses that computers can understand. E-commerce expert ParcelHero pegs the outage hit to retailers across the UK, Europe and the US at about $1 billion. AWS says the issue is resolved. But the episode flags the risk to AI firms by such outages that have repeatedly compromise the internet.

2 Who holds cloud clout for govts, firms?
Just three firms-AWS, Microsoft and Google-cumulatively service over 60% of the world's cloud infrastructure needs.

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