AWS directs engineers to reduce CPU waste amid EC2 capacity strain

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Amazon Web Services is directing its engineering teams to cut compute resource waste as demand strains server capacity. Underutilized EC2 instances reportedly account for roughly 65% of all running instances. Procurement timelines for new CPU capacity have stretched from hours to multi-day waits. Microsoft Azure and Google Cloud have both acknowledged capacity constraints during recent earnings calls. AWS has already raised GPU reserved capacity pricing by approximately 15% in early 2026.

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