STMicroelectronics expands strategic engagement with Amazon Web Services to enable new high performance compute infrastructure for cloud and AI data centers
Rhea-AI Summary
STMicroelectronics (NYSE: STM) expanded a multi-year, multi-billion USD commercial engagement with Amazon Web Services on February 9, 2026, to supply advanced semiconductors for AWS compute and AI data-center infrastructure.
The agreement includes high-bandwidth connectivity, mixed-signal processing, microcontrollers, analog and power ICs, EDA workload optimization, and warrants for up to 24.8 million ordinary shares exercisable at $28.38 over seven years.
Positive
- Multi-year, multi-billion USD commercial engagement with AWS
- Supplier role across high-bandwidth connectivity, mixed-signal, MCU, analog and power ICs
- EDA workload collaboration to accelerate silicon design and time-to-market
- Warrants align commercial incentives with AWS via vested tranches tied to purchases
Negative
- Potential dilution from warrants for up to 24.8 million ordinary shares
- Concentration risk from reliance on a single large cloud customer for multiple product categories
News Market Reaction
On the day this news was published, STM gained 8.91%, reflecting a notable positive market reaction. Argus tracked a peak move of +5.7% during that session. Our momentum scanner triggered 80 alerts that day, indicating high trading interest and price volatility. This price movement added approximately $2.40B to the company's valuation, bringing the market cap to $29.33B at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
Key semiconductor peers like GFS (+4.52%), ASX (+3.83%), MCHP (+2.15%), and ON (+1.54%) also traded higher, but the momentum scanner did not flag a coordinated sector-wide move.
Previous AI Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Nov 18 | AI model zoo update | Positive | -1.8% | Expanded STM32 AI Model Zoo with more models and broader framework support. |
| May 13 | AI sensor launch | Positive | +2.8% | Introduced AI-enabled IMU sensor combining activity tracking and high-impact sensing. |
| Feb 20 | AI interconnect tech | Positive | +6.6% | Announced silicon photonics and BiCMOS tech targeting 800Gb/s–1.6Tb/s optical modules. |
| Dec 10 | Edge AI partnership | Positive | -0.8% | Edge Impulse support for STM32N6 MCU delivering 600x ML performance uplift. |
| Dec 10 | NPU MCU launch | Positive | -0.8% | Unveiled STM32N6 microcontrollers with Neural-ART NPU for advanced AI applications. |
AI-tagged news for STM has produced mixed share-price reactions, with an average move of 1.2% and more divergences than alignments between upbeat AI announcements and next-day performance.
Over the past year, STMicroelectronics has issued multiple AI-focused updates, including new NPU-accelerated STM32 microcontrollers, expanded STM32 AI Model Zoo offerings, and higher-performance optical interconnect technologies for datacenters and AI clusters. These AI announcements typically highlight enhanced performance, efficiency, and developer ecosystems. Price reactions have ranged from declines of about 1–2% to gains above 6%, underscoring variable market responses. Today’s AWS infrastructure engagement extends this AI narrative from edge and optical solutions into large-scale cloud data center deployments.
Historical Comparison
In the past year, STM’s 5 AI-tagged announcements saw an average move of 1.2%. Today’s 3% pre-news gain sits modestly above that typical reaction band.
AI-related news has progressed from NPU MCUs and edge AI tools to high-speed optical interconnects and broader AI ecosystems. The AWS engagement extends this trajectory into large-scale cloud and AI data center infrastructure, linking STM’s chip technologies directly to hyperscale deployments.
Market Pulse Summary
The stock moved +8.9% in the session following this news. A strong positive reaction aligns with STM’s positioning as a core AI and cloud infrastructure supplier. The multi-year AWS engagement reinforces earlier AI initiatives spanning NPUs, model libraries, and optical interconnects. Historically, AI-tagged news produced average moves of about 1.2%, so a gain above that range would highlight the market’s view of this commercial deal as more material than prior technology-focused updates.
Key Terms
warrants financial
exercise price financial
high-bandwidth connectivity technical
mixed-signal processing technical
microcontrollers technical
analog and power ICs technical
electronic design automation (EDA) technical
AI-generated analysis. Not financial advice.
PR N°C3385C
STMicroelectronics expands strategic engagement with Amazon Web Services to enable new high performance compute infrastructure for cloud and AI data centers
Geneva, February 9, 2026 – STMicroelectronics (NYSE: STM), a global semiconductor leader serving customers across the spectrum of electronics applications, today announced an expanded strategic collaboration with Amazon Web Services (AWS) through a multi-year, multi-billion USD commercial engagement serving several product categories. The collaboration establishes ST as a strategic supplier of advanced semiconductor technologies and products that AWS integrates into its compute infrastructure, enabling AWS to provide customers with new high performance compute instances, reduced operational costs, and the ability to scale compute-intensive workloads more effectively.
Commercial Agreement
This engagement covers a broad range of semiconductor solutions leveraging ST's portfolio of proprietary technologies. ST will supply specialized capabilities across high-bandwidth connectivity, including high-performance mixed-signal processing, advanced microcontrollers for intelligent infrastructure management, as well as analog and power ICs that deliver the energy efficiency required for hyperscale data center operations.
The collaboration will help customers reduce total cost of ownership and bring products to market faster. ST's specialized technologies help AWS address the increasing demands for compute performance, efficiency, and data throughput required to support growing AI and cloud workloads.
Jean-Marc Chery, ST President & CEO, commented: "This strategic engagement establishes ST as an important supplier to AWS and validates the strength of our innovation, proprietary technology portfolio, and proven manufacturing-at-scale capabilities. Our advanced semiconductor solutions will directly power AWS's next-generation infrastructure, enabling their customers to push the boundaries of AI, high-performance computing, and digital connectivity. This collaboration positions us ideally for further scale-up across multiple market segments, from data center infrastructure to AI connectivity, positioning ST at the center of the AI revolution."
As part of this expanded relationship, ST will work with AWS to optimize electronic design automation (EDA) workloads in the cloud. AWS's scalable compute power enables silicon design acceleration, parallelizes design tasks, and gives engineering teams the flexibility to handle dynamic compute demands and speed products to market.
ST has issued warrants to AWS for the acquisition of up to 24.8 million ordinary shares of ST. The warrants will vest in tranches over the term of the agreement, with vesting substantially tied to payments for ST products and services purchased by AWS and its affiliates. AWS may exercise the warrants in one or more transactions over a seven-year period from the issue date at an initial exercise price of
Forward-looking Information
Some of the statements contained in this release that are not historical facts are statements of future expectations and other forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933 or Section 21E of the Securities Exchange Act of 1934, each as amended) that are based on management’s current views and assumptions, and are conditioned upon and also involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those anticipated by such statements due to, among other factors:
- changes in global trade policies, including the adoption and expansion of tariffs and trade barriers, that could affect the macro-economic environment and directly or indirectly adversely impact the demand for our products;
- uncertain macro-economic and industry trends (such as inflation and fluctuations in supply chains), which may impact production capacity and end-market demand for our products;
- customer demand that differs from projections which may require us to undertake transformation measures that may not be successful in realizing the expected benefits in full or at all;
- the ability to design, manufacture and sell innovative products in a rapidly changing technological environment;
- changes in economic, social, public health, labor, political, or infrastructure conditions in the locations where we, our customers, or our suppliers operate, including as a result of macro-economic or regional events, geopolitical and military conflicts, social unrest, labor actions, or terrorist activities;
- unanticipated events or circumstances, which may impact our ability to execute our plans and/or meet the objectives of our R&D and manufacturing programs, which benefit from public funding;
- financial difficulties with any of our major distributors or significant curtailment of purchases by key customers;
- the loading, product mix, and manufacturing performance of our production facilities and/or our required volume to fulfill capacity reserved with suppliers or third-party manufacturing providers;
- availability and costs of equipment, raw materials, utilities, third-party manufacturing services and technology, or other supplies required by our operations (including increasing costs resulting from inflation);
- the functionalities and performance of our IT systems, which are subject to cybersecurity threats and which support our critical operational activities including manufacturing, finance and sales, and any breaches of our IT systems or those of our customers, suppliers, partners and providers of third-party licensed technology;
- theft, loss, or misuse of personal data about our employees, customers, or other third parties, and breaches of data privacy legislation;
- the impact of IP claims by our competitors or other third parties, and our ability to obtain required licenses on reasonable terms and conditions;
- changes in our overall tax position as a result of changes in tax rules, new or revised legislation, the outcome of tax audits or changes in international tax treaties which may impact our results of operations as well as our ability to accurately estimate tax credits, benefits, deductions and provisions and to realize deferred tax assets;
- variations in the foreign exchange markets and, more particularly, the U.S. dollar exchange rate as compared to the Euro and the other major currencies we use for our operations;
- the outcome of ongoing litigation as well as the impact of any new litigation to which we may become a defendant;
- product liability or warranty claims, claims based on epidemic or delivery failure, or other claims relating to our products, or recalls by our customers for products containing our parts;
- natural events such as severe weather, earthquakes, tsunamis, volcano eruptions or other acts of nature, the effects of climate change, health risks and epidemics or pandemics in locations where we, our customers or our suppliers operate;
- increased regulation and initiatives in our industry, including those concerning climate change and sustainability matters and our goal to become carbon neutral in all direct and indirect emissions (scopes 1 and 2), product transportation, business travel, and employee commuting emissions (our scope 3 focus), and to achieve our
100% renewable electricity sourcing goal by the end of 2027; - epidemics or pandemics, which may negatively impact the global economy in a significant manner for an extended period of time, and could also materially adversely affect our business and operating results;
- industry changes resulting from vertical and horizontal consolidation among our suppliers, competitors, and customers;
- the ability to successfully ramp up new programs that could be impacted by factors beyond our control, including the availability of critical third-party components and performance of subcontractors in line with our expectations; and
- individual customer use of certain products, which may differ from the anticipated uses of such products and result in differences in performance, including energy consumption, may lead to a failure to achieve our disclosed emission-reduction goals, adverse legal action or additional research costs.
Such forward-looking statements are subject to various risks and uncertainties, which may cause actual results and performance of our business to differ materially and adversely from the forward-looking statements. Certain forward-looking statements can be identified by the use of forward-looking terminology, such as “believes”, “expects”, “may”, “are expected to”, “should”, “would be”, “seeks” or “anticipates” or similar expressions or the negative thereof or other variations thereof or comparable terminology, or by discussions of strategy, plans or intentions.
Some of these risk factors are set forth and are discussed in more detail in “Item 3. Key Information — Risk Factors” included in our Annual Report on Form 20-F for the year ended December 31, 2024 as filed with the Securities and Exchange Commission (“SEC”) on February 27, 2025. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this press release as anticipated, believed or expected. We do not intend, and do not assume any obligation, to update any industry information or forward-looking statements set forth in this release to reflect subsequent events or circumstances.
Unfavorable changes in the above or other factors listed under “Item 3. Key Information — Risk Factors” from time to time in our SEC filings, could have a material adverse effect on our business and/or financial condition.
About STMicroelectronics
At ST, we are 48,000 creators and makers of semiconductor technologies mastering the semiconductor supply chain with state-of-the-art manufacturing facilities. An integrated device manufacturer, we work with more than 200,000 customers and thousands of partners to design and build products, solutions, and ecosystems that address their challenges and opportunities, and the need to support a more sustainable world. Our technologies enable smarter mobility, more efficient power and energy management, and the wide-scale deployment of cloud-connected autonomous things. We are on track to be carbon neutral in all direct and indirect emissions (scopes 1 and 2), product transportation, business travel, and employee commuting emissions (our scope 3 focus), and to achieve our
For further information, please contact:
INVESTOR RELATIONS
Jérôme Ramel
EVP Corporate Development & Integrated External Communication
Tel: +41 22 929 59 20
jerome.ramel@st.com
MEDIA RELATIONS
Alexis Breton
Group VP Corporate External Communications
Tel: +33 6 59 16 79 08
alexis.breton@st.com
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FAQ
What did ST (NYSE: STM) announce about its engagement with Amazon Web Services on February 9, 2026?
How many ST shares can AWS acquire through the warrants issued in the STM-AWS agreement?
What types of semiconductor products will STM supply to AWS under the new engagement?
How will the ST and AWS collaboration affect ST's time-to-market and design processes?
What are the investor implications of ST's expanded engagement with AWS for STM shareholders?
