NEW YORK, Jan 17, 2026, 09:37 EST — Market closed.
- Amazon shares edged up 0.4% on Friday, finishing at $239.12.
- AWS has rolled out a Europe-based “sovereign cloud” targeting clients concerned about U.S. data regulations.
- Nigeria has approved a seven-year satellite license for Amazon’s Kuiper Systems, effective from February.
Amazon.com shares climbed 0.4% to close Friday at $239.12, edging up ahead of the long weekend when U.S. markets will be closed on Monday.
The shift is small, yet the spotlight remains intense. Investors repeatedly ask: will Amazon’s costly investments in cloud and connectivity deliver consistent growth without sparking fresh margin worries?
Two events in the last 48 hours have intensified that debate. One involves AWS, the company’s cash cow; the other concerns Amazon’s ongoing efforts in space.
AWS has rolled out a new “European Sovereign Cloud,” hosting data centres entirely within Europe and designed to be both physically and legally separate from its other infrastructure. This sovereign cloud aims to keep sensitive data under strict local control and regulation. “It can operate even if the EU were disconnected from the internet,” AWS Germany CTO Michael Hanisch told Reuters, highlighting customer worries about the U.S. Cloud Act, which compels U.S. companies to grant data access regardless of where it’s stored. The first data centre is under construction in Brandenburg, with more on the way, supported by over 7.8 billion euros in investment. Hanisch added AWS hasn’t set a customer target for this service. (Reuters)
Nigeria granted a seven-year satellite permit to Amazon’s Kuiper Systems, marking a step toward introducing next-gen, low-orbit broadband in Africa’s largest telecom market. The Nigerian Communications Commission approved Kuiper to deliver Ka-band services through its planned 3,236-satellite Project Kuiper, with operations set from February 2026 through February 2033. (Reuters)
The broader market has been a drag. U.S. stocks finished Friday’s session nearly unchanged after some volatility, with the main indexes slipping for the week as earnings season got underway. “Most investors will take that as a win,” said Anthony Saglimbene, chief market strategist at Ameriprise Financial. (Reuters)
Markets will remain closed Monday in observance of Martin Luther King Jr. Day, reopening for trading on Tuesday. (New York Stock Exchange)
Raymond James cut its price target on Amazon to $260 from $275 but maintained an Outperform rating. The firm highlighted that the “AI narrative is likely to be the dominant driver of stock performance next year” and called Street estimates for AWS growth conservative. (TipRanks)
A downside lurks within the AI narrative. MarketWatch highlighted a threat from “agentic commerce”—where AI-driven shopping could cut direct visits to Amazon’s site, undermining the ad model that thrives on data from on-site searches and browsing. (MarketWatch)
The income statement doesn’t need to reflect these shifts immediately to sway the stock. Traders are betting on cloud demand trends, the speed of AI infrastructure investments, and Amazon’s ability to hold its ground as major clients grow more concerned about data residency and access.
Tuesday’s reopening will be the real test, as investors weigh whether the Europe cloud expansion and the recent Kuiper licensing news act as genuine catalysts or just distractions for a stock still hungry for a solid data trigger.
