Editor’s Note: This story has been updated to include comments from an Amazon spokesperson.



There are reports of another major outage at Amazon.com Inc.’s (NASDAQ:AMZN) cloud computing arm, Amazon Web Services, on Christmas Eve. The company has described these as “rumors.”



<h2>AWS Outage On Christmas</h2>



Outage-tracking service Downdetector posted that user reports had been flagging problems with Amazon Web Services since 8:41 p.m. EST, asking followers how the disruption was affecting them and tagging the issue with the hashtag #AmazonWebServicesDown. The service also directed users to its dedicated AWS status page, where live charts showed a surge in complaints tied to the cloud giant.



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<blockquote>User reports indicate problems with Amazon Web Services since 8:41 PM EST. How is it affecting you? #AmazonWebServicesDownhttps://t.co/gtjcTxuBcO— Downdetector (@downdetector) December 25, 2025</blockquote>
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Downdetector data indicated 3,659 reports of AWS outages as of 10:52 p.m. (EST). An Amazon spokesperson told Benzinga over email that claims of AWS outage were without “factual basis.” 



On the question of Downdetector reports, the company said, “Downdetector is not a reliable source. It's frequently wrong.” Downdetector did not immediately respond to Benzinga's request for comments.



<figure class="wp-block-image size-full"><img width="758" height="320" src="https://imageproxy.pbkrs.com/https://editorial-assets.benzinga.com/wp-content/uploads/2025/12/24222612/Screenshot-2025-12-25-at-12.26.00.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="Image showing AWS outage on Christmas Eve, Dec. 24,2025." original-src="https://imageproxy.pbkrs.com/https://editorial-assets.benzinga.com/wp-content/uploads/2025/12/24222612/Screenshot-2025-12-25-at-12.26.00.png"/></figure>



Image Courtesy: Downdetector



<h2>Third Such Crash in 2025</h2>



 In a post on X, The Kobeissi Letter said &#34;Amazon Web Services has crashed with tens of thousands of websites currently down,&#34; adding that it was the &#34;3rd large-scale crash in Amazon Web Services this year.&#34; The tweet included a chart showing AWS outage reports spiking sharply over the prior 24 hours, underscoring the sudden and severe nature of the incident.







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<blockquote>@KobeissiLetter No, that's false. AWS services are operating normally today, but an event elsewhere on the internet has prompted some inaccurate speculation on social media. The only resource on the internet that provides accurate data on the availability of our services is the…— AWS Newsroom (@AWSNewsroom) December 25, 2025</blockquote>
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AWS responded to Kobeissi Letter and said the reports of outage were “false.” The company said, “AWS services are operating normally today, but an event elsewhere on the internet has prompted some inaccurate speculation on social media.”



<h2>Earlier Crash Brought Down Disney+, Reddit</h2>



The latest disruption follows an earlier AWS incident that knocked out key online platforms including Disney+, Reddit, McDonald's app and United Airlines, after a DNS issue in the us-east-1 region affected more than 70 services, according to prior reporting. During that episode, Amazon engineers said they pursued &#34;multiple parallel paths&#34; to restore functionality as businesses and government websites struggled with elevated error rates and latency.



On Christmas Eve, social media users reported outages across multiple websites:



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<blockquote>🚨AMAZON WEB SERVICES JUST CRASHED ON CHRISTMAS EVE AWS is down and taking tens of thousands of websites with it. Outage reports spiked from near zero to over 3,200 within minutes. If your favorite site isn't loading right now, this is probably why. This marks the third… pic.twitter.com/vV1x0AAhY3— Mario Nawfal (@MarioNawfal) December 25, 2025</blockquote>
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<blockquote>Games like Arc Raiders, Fortnite, Rocket League, Apex Legends and many others are down right now due to AWS outage pic.twitter.com/jzcdOT53oW— HOUcards (@HoUcards) December 25, 2025</blockquote>
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<blockquote>Many Services &amp; Games are currently down AWS, Fortnite, Steam, ARC Raiders, Marvel Rivals, EA, Dead By Daylight etc. pic.twitter.com/o76CEi1feI— Kontent Creators (@KontentCreators) December 25, 2025</blockquote>
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<h2>Outages Raise Regulatory and Operational Risks</h2>



Earlier this year, lawmakers such as Sen. Elizabeth Warren (D-Mass) argued that if one company can effectively shut down large parts of the internet during an outage, it may be &#34;too big,&#34; calling for tougher antitrust and resilience standards for cloud operators. For markets, each new incident raises questions about operational risk, potential regulatory action and the costs companies may incur to build redundancy across multiple cloud vendors.



The fresh wave of outages highlights the systemic risk created by dependence on a handful of cloud providers, where technical failures at a single company can ripple across airlines, media platforms, financial apps and government portals. Investors and policymakers have been scrutinizing AWS's dominance as repeated disruptions expose how concentrated infrastructure can &#34;break the internet&#34; for millions of users at once.



Benzinga Edge Stock Rankings indicate Amazon stock has a Quality in the 82nd percentile. Here is how the stock ranks on other parameters. AMZN ended the day 0.1% higher at $232.38.



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Photo Courtesy: Sundry Photography on Shutterstock.com



This story was generated using Benzinga Neuro and edited by Shivdeep Dhaliwal

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Amazon Web Services (AWS) faced rumors of a major outage on Christmas Eve, with reports of service disruptions affecting thousands of websites. However, AWS denied these claims, stating their services were operating normally and attributing the rumors to inaccurate social media speculation. This incident marks the third reported AWS crash in 2025, raising concerns about operational risks and regulatory scrutiny due to the heavy reliance on a few cloud providers.

Amazon Web Service Says Services Not Hit By Outage As Social Media Buzzes Over Christmas Crash (UPDATED)